RNS Number : 2461F
Alliance & Leicester PLC
07 October 2008
FINANCIAL SERVICES AUTHORITY FINAL NOTICE
On 7 October 2008, the Financial Services Authority (FSA) issued a Final Notice concluding that Alliance & Leicester plc (A&L) failed to meet the required regulatory standards for advised sales of single premium payment protection insurance (PPI). A&L has agreed to accept a £7 million penalty as part of the settlement.
The FSA's action relates to the way in which A&L recommended PPI policies to customers over the telephone in connection with unsecured personal loans between 14 January 2005 and 31 December 2007.
A&L has committed to implement a customer contact programme, overseen by third party accountants, to ensure that its customers are not disadvantaged and has committed to pay redress where appropriate.
David Bennett Group Chief Executive of Alliance & Leicester comments: 'I apologise sincerely for our shortcomings. We will be writing to every customer concerned and will be working with independent accountants and the FSA to ensure that we put right any disadvantage identified.
'Customers can be assured that we are taking this matter very seriously and that we have reviewed and tightened up our processes from December 2007 to ensure that all customers get the right information and advice.'
The full text of the Final Notice and the FSA's press release can be viewed on the FSA's website: www.fsa.gov.uk.
Further comment from A&L can be seen in a press statement, which can be found at the Group's website: www.alliance-leicester-group.co.uk.
Contacts:
Ginny Broad/Press Office
0116 200 3355
Stuart Dawkins
0116 200 3088
This information is provided by RNS
The company news service from the London Stock Exchange
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