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Financial Services - Regulatory & Risk

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Which will happen first - the end of the FSA or the introduction of Solvency II?

06 October 2011

The FSA's revised implementation assumption that Solvency II will not come into force for firms until 1 January 2014 is a belated acceptance of delay in the negotiation of the Omnibus Directive and the European legislation which had been known in Brussels for months.

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Blog

The missing link: FSA wants strict liability by disapplying the law of causation

04 October 2011

The FSA has now floated the idea of enshrining in statute what we have long known to be its (and FOS') objection to the law of causation.

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Blog

A word of 'advice'

22 September 2011

'Advice' is a loaded word. Different interpretations have very significant and distinct regulatory implications:

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Blog

OFT to investigate 'super-complaint' into high costs of currency and using cards overseas

21 September 2011

The OFT this morning confirmed that it has received a 'super complaint' from Consumer Focus, a dedicated consumer body, about the high costs to the consumer of using credit and debit cards overseas and obtaining foreign currency.

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Time (bar) is of the essence...

19 September 2011

Last Thursday marked the third anniversary of the collapse of Lehman Brothers which may have drawn a line in the sands of time for complaints about the mis-selling of investments before September 2005.

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Blog

CMC trade association should be welcomed, not derided

15 September 2011

A number of CMCs combined last week to launch the Association of Professional Claims Managers (APCM) to "increase the professionalism and levels of service provided by regulated claims management companies".

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FOS announces plans to publish Ombudsman decisions (in full)

13 September 2011

On Friday, the FOS released a consultation paper on its proposal to publish Ombudsman decisions.

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SFO turns to tax returns to uncover bribery

12 September 2011

It was reported last week that the SFO will call for companies' tax returns in a bid to uncover (particularly overseas) bribery payments.

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First Bribery Act prosecution - an opportunity missed

09 September 2011

The news of the first prosecution under the new Bribery Act will leave commentators and headline writers alike disappointed.

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Start your engines – OFT launches private motor insurance call for evidence

08 September 2011

The OFT has this morning issued a 'call for evidence' on the UK private motor insurance industry.

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Blog

FOS complaints: you win some; you lose some (or only a few; or almost all)

06 September 2011

Today's latest round of FOS complaints data tells the expected tale of woe about PPI complaints but also shows a remarkable disparity between firms' success rates.

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Blog

Mortgage Verification Scheme to combat mortgage fraud

06 September 2011

HMRC, the CML and the BSA have just launched the Mortgage Verification Scheme aimed at combating mortgage application fraud.

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Blog

PPI: The storm before the hurricane?

Published on 31 August 2011. By James Wickes, Partner

Yesterday the FSA announced the levels of redress paid by firms during the first six months of 2011 to consumers who have complained about mis-selling of PPI.

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Blog

One ombudsman, two ombudsmen, three ombudsmen, more?

31 August 2011

In a world where the various ombudsmen are replacing the Courts for the resolution of consumer claims, what happens when two or more respondent firms are covered by the jurisdiction of different ombudsman schemes?

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Blog

Morrison fined by the FSA

25 August 2011

At first sight, headlines about a hefty fine meted out by the FSA on a former director of a supermarket chain may have led people to presume that Sir Ken Morrison had incurred the wrath of the Food Standards Agency rather than the Financial Service Authority.

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Blog

The CASS alarm bells continue to ring

17 August 2011

The FSA's latest pronouncements about CASS make it all the more likely that insurance intermediaries will press for 'risk transfer' in their terms of business agreements with insurers to avoid CASS altogether.

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Double immunity - the PRA and FCA will remain untouchable

16 August 2011

On reading reports recently about criticism of the FSA's handling of an unauthorised investment scheme which left 800 investors £11.5 million out of pocket

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Blog

Those who live in glass houses... UK's anti-bribery controls to be subject to UN peer review

11 August 2011

Timing is everything. Just as the Bribery Act 2010 beds in, it has been announced that the UK will be subject to peer review under the UN Convention against Corruption.

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Blog

Unravelling trust transactions – the party’s still on in Jersey

Published on 11 August 2011. By Simon Laird, Global Head of Insurance

I previously reported on the English Court of Appeal’s decision in the combined appeals of Futter v Futter and Pitt v Holt which clarified (or so we thought) the approach to setting aside transactions for mistake under English law.

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Blog

FOS believes respondent firms should be seen but not heard

03 August 2011

Tucked at the end of Ombudsman News edition 95 in a little Q&A section about recent queries to its technical advice desk is a bold statement about the FOS' reluctance to hold oral hearings.

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Blog

CMCs - why not cut out the middle man?

25 July 2011

A joint note from the MoJ, FSA, FOS and FSCS issued last week sets out the role that CMCs play in financial services complaints and highlighted the potential drawbacks of engaging a third party in the complaints procedure.

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Blog

RDR: To delay or not to delay, that is the question

21 July 2011

The Treasury Select Committee recommended in its recent report that the implementation of RDR be delayed for one year (until January 2014).

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EIS and VCT promotions: suitability not guaranteed

19 July 2011

The FSA's explicit warning about Enterprise Investment Scheme (EIS) and Venture Capital Trust (VCT) financial promotions will do little to help financial advisers defend complaints about such investments if FOS makes a habit of disregarding their 'preferential tax status'.

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News Corp/BSkyB – a blow to an independent competition regime

14 July 2011

In my letter to the editor in today's Financial Times, I reported on the dangers of mixing politics with regulation.

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Insurance intermediaries must take care with CASS

13 July 2011

The FSA's avowed intention to zero in on insurance intermediaries' client money systems and controls should set alarm bells ringing.

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Blog

FSA wealth management review deadline only a month away

11 July 2011

By 9 August, wealth managers must respond to the FSA's Dear CEO letter to confirm they are currently meeting the FSA's suitability requirements for client portfolios and mitigating the risk of future non-compliance.

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Blog

Accountability without liability

08 July 2011

Last week the FSA laid the foundations of the FCA with the publication of "The Financial Conduct Authority - Approach to Regulation".

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Blog

FOS does not breach human rights

07 July 2011

The FOS' compliance with fundamental principles of justice was thrown into the spotlight by last week's ECHR decision in the cause célèbre case of Heather Moor & Edgecomb Limited (HME) v UK (FOS).

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Blog

Is it time to regulate MPs like other professionals?

05 July 2011

I am delighted to announce that Sam Bishop, who joins RPC as a trainee in September, won ARDL's 2011 Marion Simmons QC Memorial Essay Prize.

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Promotion of competition at the centre of new FCA's remit

05 July 2011

Last week the FSA published - "to inform public debate and facilitate stakeholder engagement" - the initial thinking behind how the new FCA, which is expected to be established by end-2012, will approach delivery of its objectives.

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Blog

Eight things you need to know about the Bribery Act

01 July 2011

As we have already posted, the Bribery Act comes in force today.

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Bribery Act goes live today - but it's never too late

01 July 2011

The birth of the Bribery Act 2010 today represents a new chapter in corporate criminal liability, but the requirements to have anti-bribery systems and controls in place should not surprise any FSA regulated firm.

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Blog

The world (of complaints handling and redress) according to FOS

30 June 2011

Yesterday Natalie Ceeney, Chief Ombudsman, set out her vision for how the financial services complaints and redress system can be improved. Her speech came at an interesting time as the performance and powers of FOS are under scrutiny as never before.

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Mortgage fraud against lenders: FSA's report on how lenders manage the risk

29 June 2011

The FSA recently published a report on how lenders manage the risk posed by mortgage fraud.

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Corporates facing criminal penalties need certainty when self-reporting

24 June 2011

On Monday of this week I reported in the Financial Times the increasing reliance by the OFT on whistleblowers who come to the OFT through its leniency programme to reveal details of anti-competitive arrangements in exchange for immunity from civil fines and criminal penalties.

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Blog

Industry seeks to put FOS in its place - and FOS fights back

23 June 2011

In recent weeks the performance and powers of the FOS have been under intense scrutiny with its own Annual Review, the BBA's judicial review of the PPI complaints rules and FSA announcements about award limits and rule changes.

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Blog

Audit – a global market requires global thinking

23 June 2011

The OFT has finally dared to lift the lid on the UK's audit market to peer inside what is likely to be a Pandora's box of complex issues.

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FSA secures first conviction for boiler room fraud

22 June 2011

The FSA recently secured its first criminal conviction for boiler room fraud. At Southwark Crown Court, David Mason pleaded guilty to:

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Blog

Law Society anti-bribery guide useful for non-lawyers

20 June 2011

The Law Society has recently published a guidance note on the Bribery Act 2010 and how its member firms should comply with the Act.

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Blog

Treasury plans reduction in burden of the Money Laundering Regulations by decriminalisation

20 June 2011

HM Treasury has recently proposed amendments to the Money Laundering Regulations to encourage a risk based approach to anti money laundering compliance and thereby reduce the regulatory burden on SMEs.

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Blog

Lloyd's Managing Agents faced with four separate anti-bribery reporting obligations

20 June 2011

The recent Lloyd's Market Bulletin on the Bribery Act is an excellent guide for Managing Agents, but it suggests that in the event of an incident of bribery (or even suspected bribery) the Managing Agents may need to make as many as four separate reports about their suspicions:

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Financial Services Bill – FOS naming and shaming could harm blameless businesses

17 June 2011

The FOS, under proposed new legislation set out in yesterday’s draft Financial Services Bill, would be required to publish reports on its determinations into consumer complaints, naming and potentially shaming businesses involved.

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National Crime Agency: an FBI for the UK?

16 June 2011

The recent speculation that the SFO would be wound up (as discussed in my earlier blog) has somewhat over-shadowed the plans for a National Crime Agency (NCA).

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Timing is everything... but not in the fight against bribery and corruption!

16 June 2011

With the implementation of the Bribery Act only two weeks away, absolutely the last thing that should have been of concern was the break up of the lead anti-corruption investigator and prosecutor, the Serious Fraud Office (SFO).

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Blog

Resolving PPI complaints – pay them all, defend in Court or request a FOS hearing?

14 June 2011

Barclays announced yesterday that it will reimburse all customers who complained about the sale of their PPI before 20 April in full (plus 8% interest) without any further investigation of the individual claims.

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Cost of 'root cause' rule changes unknown

03 June 2011

The FSA's confirmation that the PPI complaints handling guidance relating to root cause analysis will be applied to all complaints handling from 1 September has clarified what the FSA expects of firms.

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Blog

Richard Burger appointed Partner at RPC

03 June 2011

As Head of RPC's Regulatory Group, I am delighted to announce the appointment of Richard Burger as Partner.

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FOS maximum award limit to rise to £150k

02 June 2011

A month later than planned, the FSA announced on 27 May that the proposals set out in CP 10/21 would be implemented.

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Decline in FSA performance against service standards – as expected

31 May 2011

At a time when financial services firms are not only under more scrutiny from the FSA but also require their regulator to be as effective and efficient as possible, the FSA's level of performance has declined.

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Blog

Bank of Scotland fined for root cause failings

27 May 2011

Far sooner than I expected, on Wednesday the FSA sent a strong message to the complaints handlers in every regulated firm that the rules on root cause analysis mean what they say.

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