A Labour MP has added to calls for an investigation into the role of Capita Financial Group in the collapse of Arch cru Funds.
In a parliamentary written question, Tristram Hunt asked the Chancellor "if he will consider the merits of initiating an investigation into the role of Capita Financial Group in relation to the collapse of Arch cru funds".
In reply, financial secretary Mark Hoban reminded Hunt it was the FSA, and not the Treasury, which had investigative powers into the matter.
He added: "On 21 June 2011, the FSA announced a £54m package for investors in Arch Cru funds.
"Established voluntarily by Capita Financial Managers Limited, BNY Mellon Trust and Depositary UK Limited and HSBC Bank plc, this package will be used to make payments to eligible investors in Arch Cru funds, and will assist the return of a substantial part of their investment to them.
"Capita Financial Managers has committed to contact investors with further information before the end of August."
A number of MPs have raised the issue in recent months, including Labour's Yasmin Qureshi and Conservative Alun Cairns, who is also seeking a Parliamentary debate on the issue.
In oral questions to the Treasury earlier this month, Labour MP Russell Brown called on the Chancellor to "step in and investigate the role of the Financial Services Authority in the failure of Arch cru".
In reply, George Osborne said, with the FSA still looking into the matter following the compensation package, it would be "inappropriate to make any further comment".
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