A judicial review into a Financial Ombudsman Service determination that will have wide implications for Sipp providers is due to be heard in London this autumn, Money Marketing can reveal.
The case concerns a longstanding dispute between Berkeley Burke Sipp Administration and the FOS.
In 2014, the FOS ruled against Berkeley Burke for failing to carry out adequate due diligence on a £29,000 unregulated collective investment scheme. Berkeley Burke took legal action and the FOS agreed to look again at the decision, which was both controversial and unprecedented at the time.
In February 2017, the FOS issued a second determination upholding the original ruling but Berkeley Burke challenged the decision again.
In October 2017 the High Court struck down Berkeley Burke’s challenge and a question remained whether Berkeley Burke would pursue a judicial review to challenge the decision for a third time.
Money Marketing understands it has made an application for judicial review and lawyers who represent the FCA have written to a number of legal firms confirming the date of the hearing.
Hugh James partner Neil Stockdale, one of the solicitors leading a group action case for nearly 80 investors against Berkeley Burke, says: “I understand Berkeley Burke’s application for judicial review against the Ombudsman’s decision has now been listed for a three-day hearing on 10 October 2018. The court’s decision will no doubt have significant implications for Berkeley Burke given the volume of similar complaints lodged with the Ombudsman.”
The FCA and Berkeley Burke declined to comment.