Law firm Foot Anstey has made a last-ditch attempt to fight the Financial Services Authority’s (FSA) £110 million Arch Cru redress scheme, following revelations the regulator is pursuing the scandal-hit funds’ former managers.
The firm is representing advisers with client money in Cru who could face crippling bills under the FSA’s compensation plans.
It has written to the regulator, which was set to discuss the scheme at its board meeting, arguing that news of cases against Arch Financial Products and its bosses Robin Farrell and Robert Addison meant implementing the scheme would be ‘fundamentally unfair’.
‘Before any liability is imposed on any party, the facts must be gathered and analysed to ensure the imposition of liability is fair and proportionate,’ said Foot Anstey partner Alan Hughes.
‘Given the constantly evolving picture on the Arch Cru funds, that cannot and should not be done now.’