Pension holders that transferred their pension pots into Sipps on the advice of either Foreman Financial Services or Grainger Co Financial Services are being urged to get in touch today, to see if they may be entitled to compensation.
Refusing to pay out
A recent FT Adviser article reported that the Financial Conduct Authority (FCA) cancelled the permissions of Kent-based Foreman Financial Services. This was a result of the firm refusing to pay compensation it owed one of its clients. Foreman Financial Services is no longer authorised by The FCA.
The FCA stated: “this is a firm that can no longer provide regulated products and services. It was previously authorised by the PRA and/or FCA”.
Foreman Financial Services refused to pay an award made against it by the Financial Ombudsman Service (FOS). The firm also trades as Grainger Co Financial Services.
The complaint was made after the firm recommended a self-invested personal pension (Sipp) to a client regarding a Harlequin property. You can read more about Harlequin Properties here.
The client maintains that Foreman Financial Services did not assess whether the investment was suitable. As a result, they lost money on their investment.
The FOS agreed the advice had not been suitable. It recommended that Foreman Financial Services should pay enough money into the Sipp to put the client into the position they would be in had they not transferred.
However, despite repeated requests by the FCA and the FOS, Foreman Financial Services did not pay the money. As a result, the regulator cancelled the firm’s permissions.
Foreman Financial Services dissolved
Companies House confirms the firm was subsequently dissolved on 31 July 2018 following an application by the former directors for voluntary strike off.
The company announced its closure via the website which stated “Company Closed. It is with great sadness that we would like to inform our past and present clients that Foreman Financial Services Ltd (trading as Grainger Co Financial Services) has permanently ceased trading. We would like to thank you for your business and wish you every success in the future.”
Interestingly, a new firm – Quantum Wealth Planning – became authorised by the FCA in 2016 and is trading from the same address as Foreman. The Managing Director is Michael Foreman, son of Foreman directors, Stephen and Wendy Foreman.
Prior to Foreman Financial Services closure, the firm was subject to two further FOS complaints in which clients complained they were given unsuitable advice on the transfer and investment of their pension funds into a Sipp.
If you took pension advice from Foreman Financial Services and moved your pension into a Sipp, you may be owed compensation as a result.
Get in touch today to speak to one of our experts.