Another Day - Another Barclays Scam

On the day Barclays chairman is being interviewed by Parliament’s Treasury Select Committee, a group of some 50 members of the Barclays Investment Victims Club (BIVC) are lobbying their MPs after waiting years to receive compensation for bad advice
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Parliamentary Lobby


London City - London, Greater - England

July 10, 2012 - PRLog -- Appropriately enough on the very day Barclays chairman, Marcus Agius, is being interviewed by Parliament’s Treasury Select Committee, a group of some 50 members of the Barclays Investment Victims Club (BIVC) are lobbying their MPs in a committee room in the House of Commons (Committee Room S in Portcullis House), which has been booked by Wimbledon MP Stephen Hammond between 2 pm and 3.30 pm. They are fed up waiting years to receive compensation for bad investment advice as Barclays fights the Financial Ombudsman Service rejecting all adjudications on their complaints.

Barclays was fined £7.7 million in January 2011 for mis-selling the Morley (now Aviva) Global Income funds. The “Balanced” and the “Cautious” global income funds were very high risk products falling by 60% and 40% respectively in the crash. But the bank decided two years ago that over half of the 12,331 investors in these funds are not  entitled to compensation and that the sales were appropriate. The FSA came to a secret deal with Barclays in 2010 behind closed doors, saving the bank so far over £50,000 in compensation. It has refused to answer any questions about what it agreed.

BIVC members want the Select Committee to ask Mr Agius about compensation for the “Morley” victims and tens of thousands of other investors who were sold products which the bank misclassified, falsifying the actual product risk (the Axa High Yield Investment Bond, the Aviva Level Option Investment Bond, the L&G so-called Cautious distribution bond, the Barclays Dynamic Tracker funds - to name just a few). The committee should extract a promise from Mr Agius to clean up Barclays complaint investigation teams, experts in the art of rejecting complaints or devising complex compensation formulas which pay retired people, many of whom are in their eighties, less than half of what they are owed.

Barclays puts enormous resources into undercompensating complainants. Without professional help very few investors get fair compensation. One lady of 84 in a care home in Somerset got a letter last year saying she was owed no compensation as the sale of the Morley Balanced fund was “appropriate” since she was an “adventurous” investor! All she wanted was a safe income to pay her care home fees. A few months later, when challenged, Barclays offered £47,000 but the Ombudsman Service has ruled that the offer miscalculates her loss by £10,000 or more and Barclays has rejected the adjudication, so she must go on waiting and waiting for a fair final decision.

BIVC members will also ask their MPs to force the FSA to come clean and admit that over half of those who invested in these funds (and many more like them) have been cheated by the bank. The FSA must order a new investigation which is not covered by confidentiality and carried on in secret. Club members think their  losses and those of thousands of others are more important to the public than LIBOR rigging.

Paul Cooper
Director CLAIMS (LONDON) Ltd. & Technical Advisor to The Barclays Investment Victims Club

1. The Barclays Investment Victims Club is a collection of people who have been given inappropriate advice by Barclays and have lost money. Most members are retired and invested their life-savings into two “Morley” funds.
2. The funds were mis-classified by Barclays to appear safer than they were however most investors still have not been compensated for this error.
3. In January 2011 the FSA fined Barclays £7.7million for failings in the sales process however 18 months on many customers are still waiting for fair compensation.
4. For enquires please contact Paul Cooper on 020 8947 6046
5. Further details are on the club website
6. For Press enquires please phone 07512 147 267
Source:Barclays Investement Victims Club
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Zip:SW19 4DH
Tags:Barclays, Investment, Victims, Club, Parliamentary Lobby
Industry:Finance, Legal
Location:London City - London, Greater - England
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