A scandal surrounding a financier who left more than 230 creditors out of pocket to the tune of up to £80,000 has been raised in the House of Commons.
Tanworth MP Christopher Pincher highlighted the plight of West Midland residents who lost money with the collapse of Gary Hexley’s property investment firm, Greenfield International.
He drew Parliament’s attention to the case of Bill Shackleford, from Hopwas, near the town. He lost £32,000 when Sutton Coldfield-based Greenfield collapsed owing more than £2m.
Dozens of investors, including Mr Shackleford, are yet to receive a penny, and are fighting for compensation through the Financial Services Compensation Scheme (FSCS).
In a House of Commons debate, Mr Pincher told MPs: “In the past few days, members might have received a glossy letter from the Financial Services Compensation Scheme extolling its virtues and claiming that it has ‘helped millions and paid billions to consumers with nowhere else to turn’.
“That might come as a surprise to my constituent Mr Shackleford, who applied to the FSCS last November for restitution, having lost £32,000 in a failed investment vehicle called Greenfield International.
“I wrote to the FSCS on Mr Shackleford’s behalf but, after seven months, we have still heard nothing.
“It is still processing his compensation claim and has now outsourced it to Capita.
“I will be grateful if the Deputy Leader of the House can advise me and my constituents on how the FSCS may be encouraged to move a little faster and help more people to receive restitution.”
Deputy Leader of the House David Heath MP pledged to contact Exchequer Secretary David Gauke MP to see what action could be taken to speed up FSCS decisions.
Mr Pincher said after the debate: “I am very concerned at the length of time it is taking for hard-pressed pensioners, who have lost money unfairly, to get any response from the FSCS.
“They say they help millions but they are moving very slowly to help Mr Shackleford.”
No comment was immediately available from the FSCS.