Krislan Travel Limited Executive Retirement Plan (PO-17656)

Ombudsman’s Determination

Outcome

Mr S’s complaint is upheld and to put matters right KTL should pay £1,000 compensation for the significant distress and inconvenience it caused.

My reasons for reaching this decision are explained in more detail below.

Complaint summary

Mr S had requested the transfer of his benefits under the Plan, administered by Zurich Life, to another pension arrangement. The request came as the result of regulated financial advice from an Independent Financial Advisor (the IFA), and included taking a lump sum to repay debt, with the remaining benefits to be invested with Prudential. The corporate Trustee, KTL, needed to sign documents to enable Mr S’ transfer to proceed.

Mr Kumar, acting on behalf of the sole director of KTL (Mr Babbar), advised Mr S that he would need to pay a £1,670 fee to compensate Mr Babbar for the administration in acting as the Trustee. Mr S has refused to pay the fee as he has said that no fees are applicable with regard to the Trustee arrangement.