Government whip demands Keydata answers from FSA

Chloe Smith, a Conservative MP and government whip, has demanded a meeting with Hector Sants, the chief executive of the Financial Services Authority (FSA), over the collapse of Keydata.

Hector Sants
Hector Sants

Smith says she wants to ask Sants what the FSA has done to protect investors throughout the crisis, in her official blog.

The Norwich MP’s region was particularly hard-hit by the scandal after the Norwich and Peterborough Building Society was one of the biggest firms to advise clients to invest in Keydata.

Smith says: “Many concerns remain about the FSA’s role in the saga.

“I accept that due process should be followed to resolve the question of compensation.” (article continues below)

Investors who lost out in the crisis have criticised the FSA for having investigated Keydata as early as 2005 and then failing to prevent the collapse in 2009.