Failed network's liquidators chase ARs for millions in FSCS payouts

The former appointed representatives (ARs) of failed network Alpha 2 Omega (A2O) are facing multi-million pound legal claims as the Financial Services Compensation Scheme (FSCS) tries to claw back the money it paid to mis-sold investors.

A2O entered administration in January 2010, after the then regulator the Financial Services Authority (FSA) suspended it for repeatedly failing to correct a catalogue of compliance and training failings between March 2007 to May 2009. The FSCS said in July 2011 that it had so far paid out £2m to 39 claimants related to A2O's collapse, with a further 376 claims still to be assessed, suggesting the total compensation figure could be about £20m. Up to date figures on A2O related payouts by the FSCS were unavailable at the time of writing. However, as is part of the FSCS's remit, the s...