Phoenix has acquired Mortgage Times’ orphan client bank and the firm previously acquired servicing rights to clients of defunct mortgage network Network Data.
Phoenix urges any former Mortgage Times appointed representatives who are still authorised and still wish to service their clients to contact the business urgently in order to retain ownership of them.
Advisers wishing to do this will need to prove that they are currently authorised and details of the period over which they were ARs of Mortgage Times.
Phoenix will be writing to all former Mortgage Times clients to inform them of the situation.
Where clients transfer to Phoenix, trail commission will transfer with them.
Mortgage Times’ management emailed advisers before Christmas to say that the firm had ceased trading and cancelled its FSA permission, leaving appointed representatives unable to conduct business. However, the network was not officially placed into administration until February.
In January it emerged that ex-Mortgage Times directors Chris May and Paul Carmody set up a financial planning firm on the same premises as their former business.
KIS principal John Kelmanson says: “As administrators, it is our task to realise as much value as we can from the sale of assets of the company in administration and also to realise any income streams that are due on behalf of all creditors. Phoenix has demonstrated that it has the expertise and facilities to enable us to meet these criteria.”
Phoenix managing director Michael Ramage adds: “After this very difficult period, our primary concern is to ensure that the clients of the network are notified of the situation surrounding the administration and give them the opportunity to continue to receive proactive financial advice through ourselves or through those intermediaries who were ARs of Mortgage Times, but are still authorised and who wish to maintain their relationship with their clients.”