SVS Securities - shut down?

Josl

johnburman said:

And to Josi

If the monies owned are >£750, you can issue an immediate winding up petition.  That will get their attention.

Cost of winding up petition exceeds my damage. Late payment interest + late award payment interest + FOS award comes up around £1500 or so

Fees

The fees are:

• £302 - court fees
• £2,600 - petition deposit (to manage the ‘winding-up’)

You might be able to get the fees back if the company can afford to repay them.

————

To ask court to enforce the ombudsman decision cost £44. In case of insolvancy, appointed administrators are required to pay out existing court decisions.

masonic

Josl said:

To ask court to enforce the ombudsman decision cost £44. In case of insolvancy, appointed administrators are required to pay out existing court decisions.

...If the company has sufficient assets. You join the list of unsecured creditors where there is a court order or warrant/writ of control. Behind the priority and secured creditors.

Josl said:

RasputinB said:

I find it infuriating that the FOS and the Ombudsmen often won't take facts as presented by the complainants but expect the guilty company to confess before the FOS is happy to properly award judgement. This unfair bias is deplorable. Here is the guff -

"The investigator thought cash was received on 15 September as referred to by Mr A in response to some questions he was asked. But I note his bank statement he sent to us states receipt of cash was 16 October 2020 as did his letter of complaint. So, I think this is more likely the date of receipt but if there is any doubt, this needs to be agreed between Mr A and ITI before payment of the interest award is made."

The FOS is expected to resolve complaints; not leave them open ended. What a farce.

FOS exist only to exhaust the complaint process. All of investigator/ombudsman efforts are to ensure to kill or limit damage to the business. No matter how wrongful business behaves. 

In an ideal world, ombudsman should decide. Firm must pay this much in inconvenience, interest on late payment and so on. Also must make payment within 2 weeks. FOS is not fit for purpose.

It's a bit of a lottery - dependent on which adjudicator/investigator/ombudsman you get, but the inability for the FOS to punish a firm for bad behaviour is by design and legislation. Their hands are tied. It is also by design and legislation that they do not have enforcement powers, and that an Ombudsman decision has instead been given the effect of a court order. But it is better than a court order if the firm goes into administration. Other ADR services do have enforcement powers, such as the Energy Ombudsman, but I haven't heard great things about the way those work when a firm fails to pay the consumer. Enforcement through the court system is probably the lesser of two evils.

johnburman

Masonic, very right as always, but if you "lose out" in an administration in that the liabilities of the company are more than the assets, does not the FSCS pay your loss?

Plus if the award from the ombudsman is >£750 you can issue your own winding-up petition.  Yes it is expensive and you pay a deposit, but you should get that back 

masonic

johnburman said:

Masonic, very right as always, but if you "lose out" in an administration in that the liabilities of the company are more than the assets, does not the FSCS pay your loss?

Plus if the award from the ombudsman is >£750 you can issue your own winding-up petition.  Yes it is expensive and you pay a deposit, but you should get that back 

You can take a FOS decision to the FSCS. An early contributor to this thread, englishmas, had an award against SVS that needed to be claimed in this way. A court order doesn't allow you to do that, but if you try to enforce a FOS decision through the courts and fail due to insolvency, it should still be possible to fall back to the FSCS using the original FOS award letter.

Josl has already quoted some information about issuing a winding-up petition, in particular "You might be able to get the fees back if the company can afford to repay them." The £302 court fee is not a negligible amount, and I don't know whether the £2,600 deposit is guaranteed to be refunded in all circumstances.

johnburman

The fees for any winding up petition are paid first, before other payments to creditors

masonic

johnburman said:

The fees for any winding up petition are paid first, before other payments to creditors

They won't rank ahead of secured creditors with fixed charges over particular assets, administrator's fees, employees with unpaid wages, HMRC for VAT and PAYE, etc. Assets under management are ring-fenced and cannot be used to settle court fees. There is always a risk that the directors of a company that's sinking get desperate and 'disappear' other assets. Someone issuing a winding-up petition must have a great deal of confidence in the continued survival of the business and/or that there are assets remaining within the business that can be used to meet their claim.

In the calendar year 2020, ITI Capital Limited had £6.7m in net assets and made a loss of £2.1m. They made a loss of £2.8m the year before. I doubt the situation has reversed in 2021 or 2022, especially with everything that's happened. Would have to be trusting that the capital requirements were still being adhered to even now.

bottleandahalf

What is going on with these jokers.

Phoned 5 times today, to receive a password for an account that was never opened for me.

Said they sent the email 4 times and still received nought.

Looking to sell my 1 holding and end this nightmare just

RasputinB

You could consider selling your holding by phone rather than on-line. But you still need to get the cash from the sale.
Why don't you try the FCA (Freephone) and explain your predicament to them? They will know the third party who is supposed to be overseeing closure of accounts at ITI so try to get direct communication with that party.
If the FCA aren't helpful I'd ask them if they are recording the conversation as you want it logged and point out that you are finding the situation very distressing and inconvenient. Make a note of all hassle so that it is ready for a claim to the FOS if you want to collect £200 or more. 

englishmas

I am pleased to see that some you have got some compensation from FSCS, where in my case I am still waiting.
Masonic and some others may remember my previous posts regarding my case.
I was awarded compensation by the FSCA ombudsman  but did not get it as SVS went bust the same week. The liquidator asked  me to file the claim with FSCS, which I did in July 2019 and I am still waiting to get any compensation.
Each time I ask for update , I get the stander response fromFSCS , " we are still investigating your case" I do not know that why the FSCS taking such a long time to reinvestigate the case already decided by the FCA ombudsman, what are they investigating I do not know.
I am a pensioner and this is my saving for my pension, now five years has passed since this case was started.
Any suggestion/advise What action I can take would be greatly appreciated.
Thank you

masonic

englishmas said:

I am pleased to see that some you have got some compensation from FSCS, where in my case I am still waiting.
Masonic and some others may remember my previous posts regarding my case.
I was awarded compensation by the FSCA ombudsman  but did not get it as SVS went bust the same week. The liquidator asked  me to file the claim with FSCS, which I did in July 2019 and I am still waiting to get any compensation.
Each time I ask for update , I get the stander response fromFSCS , " we are still investigating your case" I do not know that why the FSCS taking such a long time to reinvestigate the case already decided by the FCA ombudsman, what are they investigating I do not know.
I am a pensioner and this is my saving for my pension, now five years has passed since this case was started.
Any suggestion/advise What action I can take would be greatly appreciated.
Thank you

Updates on the FSCS page for SVS seem to be showing they are making slow progress and working through different types of claim in a sequence: https://www.fscs.org.uk/making-a-claim/failed-firms/svs/

I agree with you that it is an open and shut case that your FOS award is owed, but before the FSCS will pay out they will need to investigate whether there are any other avenues for you to claim compensation, for example, a regulated financial adviser. I can't remember the specifics of your claim, perhaps it was a SVS cold caller that "advised" you to invest in unsuitable investments. There probably isn't a lot you can do to get your case moved up the priority list, but it wouldn't hurt to get your MP involved if you are facing financial hardship as a result of the delays.

Potentially the most recent update of 9th September, around beginning to accept and process claims for Discretionary Fund Management might be relevant to you.