Financial compensation calculations have been overhauled following failures that saw beleaguered investors in two Arch Cru funds underpaid by about £800,000 by the UK’s Financial Services Compensation Scheme (FSCS).
Investors in the ill-fated CF Arch Cru Funds have been offered the opportunity to have their claims reviewed and settled now by the Financial Services Compensation Scheme (FSCS), after it was revealed that the funds will not be wound up until December 2018 at the earliest.
Guernsey based fund administration group Marlborough Trust Company Ltd (MTCL) has been fined and its directors banned as part of the ongoing fallout from the Arch Cru investment failure.
UK-based IFA firm Tenet must compensate a client for advising him to transfer his pension into the doomed high-risk Arch Cru fund, which lost investors up to £361m ($462m, €408m).
The directors of offshore fund administrator, Bordeaux Services, have been fined and banned for five years for their involvement in the collapse of the Arch Cru funds.
Two senior figures who were behind the “serious failings” of Arch Financial Products have been fined and banned from the financial services industry, concluding a long-standing legal battle.
Stephen Danner, one of the co-founders of Cru Investment Management has escaped being fined by the FSA due to his “financial position” even as advisers face paying millions in redress for mis-selling the Arch cru funds.
