The Personal Investment Authority knew about L&G's "procedural errors" which suggested advisers were mis-selling mortgage endowment policies, but did nothing to ensure improvements were made until 1999, the Financial Services and Markets Tribunal has said.
That is part of the conclusion reached after hearing evidence in the case involving FSA allegations the insurer widely mis-sold policies, but which was challenged in the Tribunal by L&G. What may upset consumers is the implication not only that L&G's procedures were known to be wrong over a long period of time, but perhaps worse still the regulator of the day - the PIA - did not feel they were serious enough to warrant significant action as L&G had agreed to put certain matters right in 1999. "We have concluded that L&G’s procedures failed to ensure that advisers had done enough to sa...
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