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Alpha 2 Omega ARs chased for fees and PI payments

Former Alpha 2 Omega ARs are being chased over regulatory and PI payments that were not made to the network which is now in administration.

Law firm Callaghans is understood to be chasing advisers for various payments, including FSA fees and PI insurance payments, that it believes are outstanding.

Letters have been sent to advisers informing them that if payments have not been made within 14 days, the law firm will initiate court proceedings for the sum owed plus legal costs and interest.

Alpha 2 Omega was placed into administration in January, with Simon Underwood and Rupert Mullins of Benedict Mac-Kenzie being appointed joint administrators. The move came after the FSA suspended Alpha 2 Omega from all regulated activities over concerns around its compliance arrangements.

Moneygate was understood to be the front runner for the business but the firm – which tabled an offer only to later revise it downwards – cooled its interest. A takeover bid from the ARs of A2O is also understood to have been rejected by the administrator.

Alpha 2 Omega had 50 representatives at the time it was placed into administration.

Callaghans and Benedict MacKenzie were unavailable for comment.

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Comments

There are 2 comments at the moment, we would love to hear your opinion too.

  1. Tell them to contact me..

    But then again… nah… forget it.

    The trouble with ARs is they sign contracts without taking legal advice and then try to fend the network off, again without taking legal advice, fools.

  2. How can this riduculas act be ever allowed. A2O failed its A/R`s and RI`s, it is no fault of the majority of A/R`s who are left either pennyless or on the verge of bankcrupcy, all because Mr Lindley failed to provide the goods.

    The administrators are out of order now and the FSA needs to step in and deal with this quickly as it is one been put of business by slack compliance, but now be made to pay again for the priveledge is out of order.

    The comment above is rubbish, A/R`s signed the A2O contract in all goodfaith as we do, we did not expect to have our lives ripped from under our feet. Start by looking hard at the real culprits, the management team of A2O, if they had kept to their contract to provide compliance services this wouldnt have happened, instead greed over run collecting large premiums for a pathetic PII policy, and paying peanuts for compliance.
    Who`s breached who`s contract? certainly not the A/R firms.

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