The Financial Conduct Authority (FCA) has slapped claims management company Crosfill & Archer Claims Limited (CACL) with a fine of £110,000.
The penalty was handed down due to the firm making unsolicited telemarketing calls. These calls were to people who had registered not to receive this type of sales call, where the firm had no evidence they had consented to receive the call or where the firm was unable to confirm what consent had been obtained on customer data purchased from third-party data providers.
Executive director of enforcement and market oversight at the FCA, Mark Steward noted that this kind of cold calling is an example of the type of “cavalier behaviour” in which claims management firms should not engage.
“Firms need to ensure they have the right governance and due diligence in place,” he said, “and we will take action when we see behaviour that threatens legitimate consumer rights and interests.”
The FCA’s decision follows the transfer of regulatory responsibility for claims management companies (CMCs) to the watchdog on April 01, 2019. The fine was originally imposed by the MOJ in 2018 but was appealed by the firm. The appeal was later struck out by the Upper Tribunal after CACL failed to file the relevant documents in time.
