The FCA is taking legal action against two firms and three individuals over allegations they provided misleading statements on pension investments.
The regulator alleges that Avacade Limited and Alexandra Associates promoted alternative investments such as tree plantations and other Sipps, when their service was only marketed as a report service that would summarise a client’s pensions and retirement objectives to help them decide on a course of action.
The FCA has also started civil proceedings against Craig Lummis and Lee Lummis over claims they were “knowingly concerned” about Avacade’s breaches, and Raymond Fox, for being “knowlingly concerned” about Alexandra Associate’s breaches.
The two Lummis’ are listed as active directors at Avacade. Fox was a director at Avacade until 2014.
The regulator says in a statement today: “The FCA is seeking restitution orders in favour of consumers who were affected by these breaches as well as declarations of contravention and injunctions to prevent further breaches. The court proceedings are at an early stage and no date for trial has been set.”
The regulator says it is unable to comment further on the proceedings.