Lender's Restructuring Will Hit Customer Redress, FCA Warns
Law360, London (March 31, 2021, 5:22 PM BST) -- Amigo Holding PLC's proposed restructuring will lead to customers receiving "significantly less" redress for valid claims against the guarantor loans lender, the Financial Conduct Authority warned on Wednesday after a court approved the scheme.
The City watchdog published its reasoning for not supporting Amigo's plan to restructure its debt under the 2006 Companies Act. The regulator has warned creditors of Amigo — the lender's 700,000 past and 300,000 present customers and the Financial Ombudsman Service — that the scheme is not compatible with its objective of protecting customers.
Costas Pittas, head of retail lending at the FCA, has written to Amigo...
Stay ahead of the curve
In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.
Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
Create custom alerts for specific article and case topics and so much more!