The FSA has been granted an order by the High Court for the compulsory winding up IFA Albion Management Services of 19 Olive Street, Sunderland, SR1 3PE because the firm is insolvent and cannot make up a shortfall of about £1m in client assets.
The firm has misrepresented its true position to clients over a period of many years the FSA alleged to the High Court. Albion's authorisation to conduct business had been suspended in November, 2001.
Creditors of Albion are urged to make any claims to the Official Receiver London and once the full extent of losses is known, investors will be able to apply for compensation to the Financial Services Compensation Scheme.
The regulator has had a close liaison with the Northumberland police in the matter, which it is continuing.