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Trading platform sets aside £4.7m over Integrity complaints
by Daniel Grote on Aug 22, 2013 at 07:48
Trading platform London Capital Group has set aside £4.7 million as provision against Financial Ombudsman Service (FOS) complaints from investors in a foreign exchange fund marketed by Integrity Financial Solutions.
London Capital revealed in its results for the first half of the year that it had made an additional £1.1 million provision, on top of the £3.6 million made in 2012.
‘Whilst the provision of £4.7 million represents the best estimate of the expected liability, there remains significant uncertainty as to the eventual financial outcome and the timing of any payments to clients,’ it said.
It said the complaints related to a series of commission rebating errors made while preparing the customer statements related to the fund.
‘Whilst the group believes its actions did not directly cause any loss to clients, the assessment from the FOS determined that the group should repay the total losses incurred by the clients plus interest.’
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