An elderly man taken ill in New Zealand is struggling to pay for medical treatment because his money is caught up in the Towry transfer debacle.
The man, a former client of Edward Jones who was visiting relatives in New Zealand, needs to pay for hospital treatment but the delay in transferring his assets from Towry to his chosen platform means he cannot access the money.
"This is an example of some of the difficulties people are facing from being stuck in a state of limbo due to these delays," said a source in contact with the man's UK-based IFA.
"This is the last thing someone should worry about when ill on the other side of the world."
The only other capital the man has which is not tied up in Towry is an offshore bond.
However, should he make a withdrawal, he will have to pay a penalty charge because he has already used the 5% allowance.
Towry head of marketing Peter Foster says the company is doing everything it can to process the transfers.
"Towry continues to work to provide an efficient and effective administration service for all our clients, and should clients be transferring we work closely with their chosen service provider."
Last week, Standard Life said only a third of its transfers have been completed and lambasted the wealth adviser over a catalogue of errors in its transferral process.
Amongst a list of errors giving rise to the delays, said Standard, were missing stock confirmations and the receipt of cash or stock not requested.
The assets caught up in the transfer saga belong to those of former clients of Edward Jones, which was acquired by Towry last October. It is understood the FSA is now looking into the matter.
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