Regulation  

FCA refuses CMC permission over phoenixing concerns

“In addition, Ms Popplewell indicated that UCM relies heavily on Mr Popplewell in relation to technical matters: he is 'in control of the complicated bits'."

The regulator said other reasons to not have permissions approved included the fact that UCM disregarded warnings from the CMR concerning UCM’s retention and use of data relating to TPO’s clients, and ignored instructions from the CMR to delete it. 

“Overall, the authority cannot be satisfied that UCM is a fit and proper person or that it has appropriate human resources in place,” it said.

“For the reasons set out in this notice, the authority cannot ensure that UCM will satisfy, and continue to satisfy, the threshold conditions set out in Schedule 6 of the Act."

The FCA said the firm had 28 days from the date the decision notice was given to refer the matter to the Upper Tribunal but no referral was made within this period.

This latest notice comes as earlier this month, the FCA has announced proposals to ban CMCs from managing Financial Services Compensation Scheme claims where they have a relevant connection to the claim. 

In January, a small group of CMCs collected almost £12m in fees on pension claims over the duration of one year, according to data collected by the FCA.

sonia.rach@ft.com

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