Financial Conduct Authority accused of adopting unfair tactics in brewing court battle against All-Party Parliamentary Group on Fair Business Banking
The Financial Conduct Authority has been accused of adopting unfair tactics in a brewing court battle against the All-Party Parliamentary Group on Fair Business Banking.
Legal papers signed off by Tory MP Kevin Hollinrake allege the regulator has refused to hand over key documents to the group.
It is claimed the FCA has not put its ‘cards face up’ on the table. The watchdog is accused in court documents of a ‘failure to comply with the duty of candour’.
Pointing the finger: The watchdog is accused in court documents of a ‘failure to comply with the duty of candour’
The legal action stems from the FCA’s decision not to seek more compensation for firms that were mis-sold toxic interest rate hedging products.
This was despite an independent review by John Swift QC last year that concluded the regulator was wrong to exclude around 5,000 companies from a redress scheme.
The FCA said this year it would not be ‘appropriate’ to take further action, a move that has been described as ‘unlawful’ by the APPG.
The regulator has denied breaching its duty of candour.