FSCS comments on LCF court case
The Financial Services Compensation Scheme (FSCS) has commented on the application for judicial review regarding FSCS compensation for London Capital & Finance (LCF) customers.
Law firm, Shearman & Sterling filed the application on today at the High Court.
The compensation scheme said that it has undertaken an investigation to determine whether LCF carried out any regulated activities that we might be able to compensate for.
It added that this has included significant factual analysis and consideration of some complex legal and regulatory issues.
James Darbyshire, FSCS general counsel, said: “We appreciate LCF is a complex and sensitive case affecting a large number of investors who are keen to understand our decisions.
“FSCS has been transparent and cooperative in discussing the legal issues with the investors and will continue to do so.
“To ensure that the investors’ real concerns are fully addressed, we have taken the unusual step to agree not to seek to enforce any costs order in our favour against the investors.”