Mis-selling claims for Old Mutual and Friends Provident
Pension and Investment providers Old Mutual Wealth and Friends Provident International have been accused of mis-selling Unregulated Collective Investment Schemes (UCIS) to expats and pensioners in Thailand, Indonesia, Cyprus and the UAE, via subsidiaries in the Isle of Man.
A group of up to 300 investors are planning to sue in the High Court within the next few months, for a claim of up to £80m.
UCIS are not available to regular investors in the UK due to their risk and the fact that they are not covered by the Financial Conduct Authority (FCA). The funds were sold to savers via unlicensed, unregulated IFAs. The funds total losses amount to £200m.
When the fund collapsed, some individual investors have lost up to £1m in life savings. Believing in the financial probity of Old Mutual, they bought bonds and invested their pension into the fund made available by Old Mutual International.
David Parry was based in Abu Dhabi when he made his investment. Speaking to City A.M. he said: “I invested 40 per cent of my pension in a fund made available by Old Mutual International. I have now lost it all. I then found out that the fund was high-risk and should not have been made available to me at all. Old Mutual International claims no responsibility for what it makes available to investors.”
A spokesperson for Quilter said: “We are aware of the allegations and have responded to those in detail. The allegations are baseless and without merit. Old Mutual International Isle of Man is an IoM regulated insurance company employing approximately 500 people.”
A spokesperson for FPIL added: “Friends Provident International denies all allegations of wrong-doing or liability. FPIL does not have a UK presence and it is not authorised to give investment advice. Instead FPIL products are selected by an applicant and it is for an applicant’s investment adviser to determine which products are suitable.”
For more information read the City A.M. article here.
If you believe you have been mis-sold an investment and are due compensation, get in touch today to start your claim.