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FSCS hit by 200 claims over collapsed IFA Bentley-Leek
by Michelle Abrego on Sep 04, 2013 at 10:01
The Financial Services Compensation Scheme (FSCS) has received over 200 claims in relation to collapsed advice firm Bentley-Leek Financial Management (BLFM) and so far paid out a combined £80,000 to three claimants.
The scheme declared Bentley-Leek in default in April and has since been hit with 207 claims.
It has not processed all the claims yet and a FSCS spokeswoman said it was ‘very early days with regards to this case’.
Surrey-based BLFM also ran collapsed £47 million property vehicle Bentley-Leek Properties.
According to one FSCS claim seen by New Model Adviser®, a client was advised to invest their entire £300,000 pension savings into Bentley-Leek property developments in Esher, Wimbledon and Dubai.
The FSCS declared the advice firm in default after it completed an investigation into the firm’s liabilities for advice given to invest in various property schemes promoted by Bentley-Leek and backed by its sister companies Bentley-Leek Properties and Bentley-Leek Properties International.
In March New Model Adviser® revealed the directors of BLFM were being investigated by the insolvency service, following a report by BLFM’s liquidator, B&C Associates, and Bentley-Leek Properties’ administrator, BDO.
Surrey-based IFA Harding Financial, which has taken on the majority of Bentley-Leek’s clients, has been helping them make claims.
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