Paradigm has signed 117 ex-Bankhall IFA firms in the last 12 months, according to partner Tony Murrell, but these figures are disputed by Bankhall.
Murrell says the 117 firms, with 531 registered individuals, are all now fully contracted to Paradigm’s IFA support services.
But Bankhall chief executive Peter Mann says he can find no evidence to substantiate the claim. Mann says: “When people pay for our services, they principally pay by direct debit. A primary reason for that to stop is deauthorisation or change of permissions. In many cases, it is not possible to say why they are leaving but, on the evidence we have, 117 is considerably inflated.
“However, I am not surp-rised by claims of this nature by a marketing-driven com-pany such as Paradigm.”
Murrell says all the 117 firms have signed a Paradigm partnership agreement. He says: “We are delighted with the number and quality of firms that have joined us. It demonstrates that Paradigm really is the future for IFAs.”
Mann says Paradigm’s behaviour is “very disappointing”.
He says: “At a point when we should be concentrating our attention on supporting IFAs in very difficult market circumstances, this is an unhelpful distraction.”
Murrell was sales director at Bankhall and worked for the firm for 10 years before leaving in February 2007 to join former Bankhall joint chief executive Paul Hogarth at Paradigm Partners.
The support services firm, which launched last February, has 136 IFA members along with a mortgage club.