FSA cancels adviser’s permissions over FOS award

FSA Front 480

The FSA has cancelled the permissions of an adviser firm for failing to pay a Financial Ombudsman Service award relating to its predecessor business.

Cleveland-based firm Argentum-Lex Wealth Management agreed with the FSA in July 2010 that it would pay any FOS awards made against Argentum’s predecessor firm Wynyard Asset Management.

The warning notice and decision notice against Argentum, which detail the circumstances around the award, have not been made public.

The regulator says Argentum has failed to pay a FOS award against Wynyard made in June 2011 despite repeated requests by the FSA and the FOS to do so.

The FSA says as a result Argentum failed to pay due regard to the interests of its customer or treat him fairly, and failed to satisfy the FSA that it is conducting its business soundly and prudently.

Argentum took its case to the Regulatory Decisions Committee, part of the FSA’s independent appeals process, but the RDC found in favour of the FSA.