The adviser, who does not want to be named, says he did not join Towry when it acquired Edward Jones in October 2009 and a number of his clients requested to follow him to his new firm.
A number of platforms have also raised concerns to Money Marketing regarding the time taken to transfer assets.
The adviser says one client applied for her £1m portfolio to be transferred to Transact on March 2, but the transfer is still not complete.
The adviser says: “People are unable to get their money out and it is costing them dearly. One client tried to sell shares in BP a couple of months ago but because the transfer request had been placed, Towry Law said it could not access the funds. But we are still waiting for that transfer to complete months later and the client has lost money as a result.
“The whole transfer process from start to finish should take no more than two weeks. Towry Law is seriously inconveniencing EJ advisers who left and the clients that want to stay with them.”
The adviser says he has a large number of clients who applied to have their assets transferred to Transact in April, but many are still waiting for their funds.
Towry chief executive Andrew Fisher (pictured) admits there is a delay in in-specie transfers.
He says: “The cause of the delays is that the transfer process was being handled in the US until the end of April and a backlog built up. We are doing everything we can to reduce that backlog and it should be finished in the next month.”