Yorsipp Ltd Pension Scheme (PO-5362)

Complaint summary

Mr Toward complains that Yorsipp failed to carry out adequate due diligence in Professional Funding Services Ltd (PFS) before sanctioning his request in March 2011, to invest £40,000 of the SIPP fund in PFS by means of an unsecured loan. He also contends that Yorsipp did not subsequently monitor the performance and security of his investment in PFS and as a consequence of these shortcomings he has lost £40,000 in the SIPP.

Summary of the Ombudsman’s Determination and reasons

The complaint should not be upheld against Yorsipp because the evidence falls short of establishing that injustice was caused to Mr Toward as a result of any failure on the part of Yorsipp to exercise due care and diligence in the conduct of business with him. I do not therefore consider Yorsipp should be liable for any loss in the value of the SIPP.