A report in the Scotsman dated July 30, 2001 says the FSA was “annoyed” by the fact that Keydata did not put clear information across about the product they were selling in an IFA-sponsored Isa guide.
It says a FSA insider said: “Major charges and penalties were not highlighted.”
The report says the guides promoted a so-called “protected” Isa devised by Barclays bank.
Keydata was instructed by the FSA to write to 500 investors who took the guide’s advice and offered them the opportunity to cancel their investments and get their money back.
A FSA spokeswoman refused to comment.