FSCS comments on LCF judicial review

As a judicial review action starts in respect of eligibility of London Capital & Finance investors for FSCS payment, FSCS commented that this is a large case, and that it had carried out extensive factual investigation to determine whether any investors, and if so which ones, would be eligible for payout.

So far, just over 150 of the 11,600 bondholders are to be compensated – those that switched from stocks and shares ISAs to the unregulated bonds. Customers who were given misleading advice by LCF will also be eligible for compensation, but because mere issue of the mini-bonds is not of itself a regulated activity,  FSCS has determined that those that invested without advice will not be.