Cartel Client Review closed for new business

Cartel Client Review closed for new business




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The controversial claims management sector looks to be further unravelling as one of the most prominent firms, Cartel Client Review, has reportedly closed for new business. 

Following the news last week that a law firm working for the claims handler was shut down by the legal watchdog, Solicitors Regulation Authority (SRA), it has now emerged that Cartel has stopped taking new cases.

 

Some Cartel agents are even going as far to say it has closed down for good, although this has not been confirmed.

 

This is just the latest twist in the tale for the Manchester-based firm, which is currently under investigation by the Ministry of Justice after scores of consumers complained about its business conduct.

 

The claims management company charges an upfront fee of £495 to review customers’ credit agreements, and bring claims against lenders for mistakes made in them.

 

When Bridging & Commercial tried to call Cartel Client Review, an automated message stated that the claims handler is currently unable to answer any inbound calls.

 

Cartel managing director Carl Wright is said to have issued a notice to the firm’s agents, saying that the company is “temporarily putting a hold on all new Cartel business” while they consider “what Cartel does next”.

 

The Ministry of Justice has also refused to comment as it is still an active investigation, adding that it could jeopardise the outcome.

 

In a further sting to Cartel’s tens of thousands of customers, doubts have been raised about what will happen to the money they have handed over.

 

News reports have indicated that millions of pounds of client money could be at risk, as the law firm closed by the SRA, Consumer Credit Litigation Solicitors, handled these cases on behalf of Cartel.

 

However, as customers paid money to Cartel, not the solicitors, the SRA will most likely be unable to help with refunds.

 

The SRA stated that it had closed down Consumer Credit Litigation Solicitors because of “suspected dishonesty”.

 

It has been suggested that the law firm and claims management firm shared an unhealthily close relationship, even operating on the same floor of an office building at one point.

 

According to former employees, the director of Cartel had a great deal of influence over the solicitors, and staff were not allowed to tell clients that they had no claim, even if the files they assessed had no prospect of success.

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