Earlier this week, the CII announced its intention to appoint a majority of directors to the PFS, following failed mediation attempts.
Alongside this, the CII also announced its decision to appoint three institute directors to the PFS board with immediate effect.
Following this, PFS members came together to hold an emergency general meeting yesterday but were unable to go ahead.
Caroline Stuart, president of the PFS, said: “As stated yesterday, the PFS was scheduled to hold an emergency board meeting today following receipt yesterday morning of the CII’s notice of its intention to appoint three institute directors to equalise the PFS board with immediate effect, and its further intention to appoint a majority of directors to the PFS board.
“This intention would mean the CII gains indirect control over the PFS board and PFS assets.
I have noted the comments of my fellow members that to do this on the eve of the Christmas holidays is cynical and designed to disadvantage the PFS and its members. Vanessa Barnes, Hannay Wealth LLP
“Despite the presence of all of the member directors, and sufficient for a quorum, the meeting was rendered inquorate due to insufficient CII appointed directors attending to make a quorum.”
Stuart said she is seeking to rearrange this emergency meeting of the PFS board as an urgent priority.
Yet, a CII spokesperson, said: “The newly appointed institute directors have all confirmed they can attend the scheduled PFS board meeting in January, and provided their availability for several different dates, should the PFS board want to meet.
“However, sadly, the statement issued by the president of the PFS board today was another contravention of board confidentiality. We have written to the president of the PFS board to express our concern.”
Meanwhile, Sarah Lord, president of the PFS from 2020 to 2022, told FTAdviser that there have been repeated attempts by the CII under the last permanent CEO and now Alan Vallance to "squash the PFS, roll-it into the CII and secure its assets and reserves to prop up the CII".
She said: "As I said at the PFS AGM in September of this year, we have sought to block these actions and to act in the best interests of PFS members and the organisation as a whole, as was our duty as directors of a company limited by Guarantee.