An IFA firm forced into administration last year over a £1.5m Arch cru bill has been declared in default by the Financial Services Compensation Scheme.
Leicestershire-based IFA Willow Financial Management was forced into administration in October after facing £1.5m in Arch cru liabilities, with its former directors setting up a new firm.
The company is one of 11 investment and pensions firms declared in default by the FSCS in an announcement today.
Customers of those companies can now make claims for compensation to the FSCS, which is funded by an industry levy.
The following 11 firms, classified as life and pension or investments businesses by the FSCS, have been declared in default:
• Kedends (formerly trading as Gordon Keddie)
• Financial Solutions
• Pengwern Wealth Management
• Willow Financial Management
• Berkeley Warburg Financial Planning
• Abacus Financial Management
• J A Unwin trading as Havering Mortgage & Insurance Consultants
• Page & Page
• Pretium Securities
• Silverwind Securities
• Moneytalk Independent Financial Advisers
The FSCS has also declared mortgage firm Washington Mortgage & Insurance Centre in default, as well as eight general insurance firms.
FSCS head of communications Mark Oakes says: “We have already started paying compensation in respect of these firms.
“We are encouraging anyone who has not been contacted by us and believes they may be owed money as a result of their dealings with any one of these firms to get in touch with FSCS.”