Broker vs FSA: The £1.7m battle continues

Broker vs FSA: The £1.7m battle continues


A broker trying to sue the FSA for libel for up to £1.7 million has requested that their latest defence be rejected. 

Adam Lucas, the former owner of People Loans, is suing the FSA for loss of revenue and damage to his businesses reputation.


The broker, who had his regulatory permissions cancelled, has challenged the FSA’s decision due to errors on their part related to the treatment of the case.


 Mr Lucas, who claimed in February the FSA libelled him by publishing a defamatory decision notice, has had his ability to conduct regulated business frozen.


Mr Lucas failed to pay £1,349.41 in fees and levies which he owed to the FSA which resulted in the decision to cancel his permission to carry out regulated activities. According to the notice these payments were missed “despite repeated requests”.


After the authority publicised the decision on their website, Mr Lucas claims that this was unjust and there were errors in the handling of the case.


Mr Lucas believes that a case for such a substantial sum should have been held in front of a high court judge.


He also claims the date his permissions were cancelled was May 8 2010, which did not match up with the details published in a press release dated March 9 2010.


He is calling for the FSA’s defence to be rejected because the hearing was held in master’s chambers and not in front of a judge.


Mr Lucas does not believe that he was treated according to the specified guidelines; as well as appearing on the regulator’s website in a press notice, his case was widely reported in financial publications.


The FSA claims it removed the notice dated  March 8 from their website and did not issue a press release regarding the case.


The case continues.


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