Berkeley Independent Advisers was a subsidiary of Berkeley Berry Birch, which went into administration in March 2006. PwC was appointed as the administrators.
One letter, seen by Money Marketing, was sent by debt collectors Financial Service Recoveries to a former BIA member demanding payment of more than £500,000. It does not give any details about the reason that the money is owed.
A PwC spokeswoman confirmed that it has contracted Financial Services Recoveries to recover money from former BIA members.
She says: “We are claiming back those amounts paid out by the FSCS in compensation on policies considered negligent or missold.”
PwC refused to confirm how many former BIA firms it is chasing for recoveries or what total amount remains outstanding.
The Financial Services Compensation Scheme has paid out £4.5m for BBB in total so far but says it is still paying claims and seeking further recoveries.
The FSCS says it cannot disclose how much compensation has been paid out on behalf of former BIA members.
Tenet bought the contracts for the remaining BIA advisers and for the pipeline business, which protected advisers’ income and accepted liability for clawbacks, just before BIA went into administration.
Liabilities for past business remained with BIA and was passed on to the liquidators.
Tenet group distribution and development director Keith Richards says: “These letters must be going out to firms that left BIA before Tenet bought out the contracts. Advisers that moved across to Tenet are not liable for past business and if they receive a letter demanding money, they should contact Tenet immediately.”
Compliance consultant Adam Samuel describes the letter as “extraordinary”.
He says: “It is extraordinary because it demands an extremely large sum of money without the slightest indication of the basis on which the money is being demanded.”