St James’s Place (SJP) will offer compensation to clients who lost money through adviser Peter Carron who is currently under police investigation, according to the Mail on Sunday.
The high-end sales force will reportedly offer redress to those who believed they were buying SJP products.
SJP partner Carron is currently part of a City of London police investigation into £4 million of client money which is feared lost.
Liquidated adviser firm Primrose Associates, owned by Carron, is being investigated after 20 clients placed £4 million with the firm for investment. The money was then passed to Evaluate Technologies, a mortgage software company also owned by Carron.
The liquidator is currently trying to establish where the money has gone.
Joint liquidator for Primrose John Kelmanson, partner of accountants KCBS, said although an offer was likely SJP had not confirmed it.
‘I am unable to confirm that they have definitively made an offer as suggested in the Mail on Sunday. I think the indication is they are going to but they have not made the definitive statement to us or anyone else,’ he said.
‘They [SJP] say they are heavily involved in discussions with insurers but they haven’t made that statement yet.’