ISA funds stolen?

dunstonh

It should be noted that that the FOS could be right.

Investment portfolios can encompass multiple tax wrappers. A married couple may use joint money to feed each others ISAs and have unwrapped and the portfolio may be all one big pot in terms of advice. So, if the portfolios had previously been "linked" that way then it would be normal to expect hat to remain until told otherwise.

That said, you wouldnt normally accept a withdrawal request without signature unless the payment was to a known and verified bank account. i.e. payment to a joint account or the same bank details that funded the ISA in the first place.

MarmiteTwiglet

Thank you for all your replies. Going through everything you have all said.

I never gave permission nor any POA to my husband to manage the ISA portfolio. The FOS did not say i had.

Both our ISA portfolio's and the joint portfolio all had different account numbers, so as far as i can see they should have been treated independently of each other. The FOS has failed to recognise this, and seen them as a single portfolio.

There was agreement between us that the ISA's would only be encashed if there were no other funds available. There was a considerable amount of money elsewhere in joint accounts that my ex-husband had access to which could have been used instead of my ISA and as a result of the encashment i lost the tax advantages of the ISA.

This was the first time there had been any activity on my ISA other than when the cash/shares were put in the ISA wrapper.

At the time we were separated (which the brokers knew) and as part of the know your client regulations the brokers should have sought my permission before doing anything with my ISA. Separation is usually not because you are getting on and generally acrimonious.

Voyager2002 talks about benefiting the children. Agreed except for the fact that my ex-husband had already acknowledged that my ISA belonged to me by citing it as one of my assets in the divorce papers. Ignored by the FOS.

The brokers were caring for my money and so i think that they should not have paid it out to anyone except me. Their resources are considerably greater than mine, hence my need for some form of regulation which says no-one can have it except for me.

All your advice and thoughts very much appreciated, thank you

MarmiteTwiglet

also in respone to dunstonh, money not paid to the account that funded the ISA, nor to a joint account

dunstonh

Both our ISA portfolio's and the joint portfolio all had different account numbers, so as far as i can see they should have been treated independently of each other.

Not on "joint" advised portfolios. Is the firm an advisory firm?

If you think of the portfolio as one big circle then within it you have the smaller circles for each tax wrapper.

xylophone

The OP had a stocks and shares ISA, her husband had a Stocks and Shares ISA and they jointly held a stocks and shares account.

It appears that all three accounts were managed by the same stockbroker.

The OP and her husband were accustomed to transfer sufficient out of the joint account to fund their individual ISAs.

Once within the ISA, the assets within them were individually owned and controlled.

The OP states that she had given no authority for her husband to manage her ISA.

It would appear therefore that the husband had authority to request the liquidation of his own ISA and (presumably the account authority was joint and several) the joint account with payment of the proceeds into his sole account.

I still don't understand how he could have been permitted to liquidate his wife's ISA which was her own private property.

colsten

MarmiteTwiglet wrote: »

The brokers were caring for my money and so i think that they should not have paid it out to anyone except me. Their resources are considerably greater than mine, hence my need for some form of regulation which says no-one can have it except for me.

What do you expect? You have been to the FOS, they ruled against you, based on the evidence available to them (which is a lot more than we have on this forum).

All you can do now is go to Court - see post #2.

HarryD

If an ISA is in a person's name, only that person can encash it unless they have given authority to someone else (or, for an online account, they have given another person the login details as has been said above).

So, surely it is up to the broker to show the piece of paper which the OP signed giving her husband authority over their ISA. If the broker cannot show this or similar evidence I do not understand how they can have a leg to stand on.

OP, have you asked the broker what written authority they have to take your husband's instructions with respect to your ISA?

atush

Why were these accts not formally separated from each other on separation and divorce.