The Financial Services Compensation Scheme (FSCS) has said its investigation into the viability of investor claims against major Harlequin distributor TailorMade Independent is ongoing.
The scheme is considering the firm's involvement in advising its clients to transfer existing pensions to self-invested personal pensions (SIPP), which were then invested in schemes including Harlequin overseas hotels and resorts.
Tailormade, which has an advice arm, an alternative investment business and a SIPP, entered creditors' voluntary liquidation in October last year because it could not finance redress payments to clients.
But the business, which stopped taking new money into Harlequin in January 2013 following an alert about the company by the financial services regulator, has not been declared in default.
"We are currently investigating the extent to which TailorMade Independent is liable for any of the losses its customers have suffered," the FSCS said in a statement.
Harlequin - which has taken about £400m from investors to invest in properties across the Caribbean - has been rocked by problems since the start of 2013, including several warnings by the regulator and its sales arm going into administration.
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