The FCA has taken the unusual step of encouraging ex-clients of failed IFA Verus Financial Services Ltd ((FRN 765214) to consider submitting compensation claims to the Financial Services Compensation Scheme (FSCS).
The Financial Services Compensation Scheme launched a probe recently into Verus after the FCA halted business at the firm last December following a number of “deliberate” breaches of existing rules.
London West End-based Verus Financial Services Ltd was authorised by the Financial Conduct Authority from March 2017 and was an independent financial adviser firm providing investment, pension, mortgage, equity release and insurance advice.
In a statement this week the FCA said: “The FCA is supporting the FSCS as it assesses claims against Verus Financial Services Limited and decides whether individual claims are eligible for compensation.
“Verus was an independent financial adviser firm providing investment, pension, mortgage, equity release and insurance advice. Since 2025, the firm does not have the permission to carry out any regulated financial services activity in the UK, including providing any financial advice. They also cannot sell, transfer or reduce their asset without the FCA’s approval.
"Compensation may be available to former Verus customers through the Financial Services Compensation Scheme (FSCS), subject to assessment."
Verus was registered at an address in Great Portland Street, London W1. Last year the FCA imposed stringent asset restrictions after the firm, “repeatedly and deliberately breached an asset restriction,” according to the FCA.
The watchdog did not provide full details of the breaches but said its action followed concerns that the firm repeatedly breached existing restrictions which prevented it from, "selling, transferring or diminishing its assets without…approval.”
Verus is also alleged to have failed to comply with a Financial Ombudsman Service decision on SIPP advice which resulted in a client allegedly losing £415,000. Verus rejected some aspects of the claim, saying a third party had been involved. The SIPP was invested in, “unsuitable high risk non-standard investments”, according to FOS adjudication.
The FSCS has asked people with potential compensation claims to get in touch via its website.