The Association of Professional Financial Advisers (APFA) has urged the Ministry of Justice (MoJ) to investigate Claims Management Companies (CMCs), which it thinks are increasingly manufacturing claims.
Chairman of APFA Lord Deben, has written to the secretary of state for justice, Chris Grayling, asking that the ministry investigate fraudulent claims being made by CMCs. The letter urged the MoJ to act more quickly when firms break the rules, this would include immediate suspension or removal of the CMC's authorisation when a fraudulent claim is found. It has asked that the MoJ implement higher standards of approval for CMCs, similar to those required for businesses regulated by the FSA. This should include scrutiny of business plans, and checks on the integrity of individuals runnin...
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