Government whip Chloe Smith has demanded a meeting with FSA chief executive Hector Sants over the collapse of Keydata.
Smith, who is Conservative MP for Norwich North, wants Sants to visit Westminster to explain the FSA’s role in the crisis.
She has already met Financial Services Compensation Scheme chief executive Mark Neale to seek information on Keydata.
Smith says “many concerns remain” and people want to know what the FSA knew about Keydata before its problems surfaced. People in Smith’s constituency were hit hard by the debacle as the Norwich and Peterborough Building Society was one of the biggest firms to advise clients to invest in Keydata.
AWD Chase de Vere head of communications Patrick Connolly says: “Any influence that politicians can give that helps to provide a speedy outcome is appreciated.
“There are lots of moving parts in this and I would suggest it could take lots of time for a politician to get up to speed with what is going on.”
The Financial Services Compensation Scheme introduced an £80m levy on intermediaries earlier this year to pay for claims relating to Keydata, NDFA, and Arc Capital & Income.
The FSCS will decide in September whether Keydata clients with investments in Lifemark will be able to claim for compensation. Around 23,000 Keydata clients invested £349m in Lifemark.