17 December 2010
The Financial Service Authority (FSA) has fined Scottish
Equitable Plc £2.8 million for causing significant consumer
detriment through poor administration of members' policies.
The FSA has ordered Scottish Equitable Plc to pay a consumer
redress amount of approximately £60 million, £30
million will have to be paid by the end of 2010.
The FSA Managing Director of enforcement and financial crime,
Margaret Cole said:
"The redress package is significant news for the customers of
Scottish Equitable Plc and I am pleased that £30m will
already have been paid back by the end of the month.
"This case shows the importance of getting customer
administrative procedures right and fixing them quickly when they
go wrong. This is a key part of treating customers fairly.
"By letting the issues build up over such a long period,
Scottish Equitable Plc made it even more difficult to fix the
problems and this led to delays in getting compensation to
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