Alpha to Omega (A2O), the failed adviser network, has been put into default by the Financial Services Compensation Scheme(FSCS).
An FSCS spokeswoman confirmed A2O went into default in August and the scheme has received 180 claims against the firm.
No estimate of the cost of claims has yet been established, she says.
The network has been unable to take on new business since 21 January when the FSA changed its permissions. It entered administration on 26 January.
A2O launched six years ago offering independent financial advice on areas including mortgages and insurance and with 47 appointed representatives (ARs).
In a supervisory notice published last month, the FSA said it suspended the Winchester-based network from regulated activities for repeatedly failing to correct a catalogue of compliance and training failings between 29 March 2007 to 27 May 2009.
The FSA found A2O did not carry out sufficient checks on new recruits, failed to follow its own training and competence scheme and failed to assess and monitor the ongoing competence and training needs of advisers.
Regulatory investigations also found A2O's research on funds its ARs went on to recommend to customers was insufficient and the risk rating given to some funds, as well as the reasons for that rating, was unclear from the client files.
The FSA also found products recommended to clients did not match their risk profiles, and there was "clear evidence of churning and commission bias".
"Few files demonstrated that the client was offered a pure fee option and in some cases high levels of commission had been taken by the adviser, without challenge by A2O's compliance team", the note states.
The FSCS says it is investigating the claims it has received.
Annuity market worth £4bn in 2017
For ‘distress’ caused
Oversees £30bn of advised and D2C assets
Less than a third of top paid employees are women
£1bn business since inception