Myners raises IFA cap ad query in Lords

Happy Birthday

'How naice' of his Lordship - particularly as today is his Birthday - no kidding he's 63 today. And yet again he shows that he’s somewhat missed the point. Not that the FSA probably realises, but particularly for smaller firms if the Cap Ad is higher it shows that they are well founded and therefore one may take it not completely desperate to transact that last job, as they’re a bit short on the mortgage this month so may possibly be less likely to cut corners or give inappropriate advice. Anyway if you consider that it hasn’t moved for about 20 years at the very least it should be brought up to inflation levels since. Unfortunately all the Regulator can think of is compensation and not the wider (and in this case potentially good) consequences.

Posted by: Harry Katz

Misnomer?

An adequately capitalised business is one that has sufficient capital at hand to meet its committed outgoings. If the firm also has as stream of committed income - i.e. contractual retainer from clients then its exposure is limited to the shortfall, or has no exposure if the retainers exceed the commited ouggoings. So it could be said that a firm with more contractual income than outgoings is well capitalised. Except of course that the FSA ignore contractual income, thereby penalising those firms that have a high service level based on committed revenue. As Harry implies they don't really mean adequate capital for normal business pourposes. Thier version of capital adequacy is in fact a capital reserve - that can be used only for compensating clients, not for normal business purposes. Lord Myners is right to raise the matter. He should ask how the required amount is to be calculated and challenge the FSA's 'logic'. Example A firm with a contractual income from clients of £500,000 per annum and committed outgoings of £400,000, will be required to keep aside a sum of £100,000, even though it has £100,000 excess income over expenditure. Ludicrous!

Posted by: Green Eyed Monster

RDR

What about questioning the rediculous £1.7 billion RDR that will put many out of work?

Posted by: Incompetent Regulators Awards Team

so you think myners gives a....

what does myners care? he would not even tell the truth over the longstop.

Posted by: infinitelyliable

Cap Ad

I believe the answer to this question is down to the IFA Firms liquidity ratio. If current assets outweigh current liabilities by a reasonable margin eg 1.5:1.0 then the firm is sound. The FSA could track this ratio in the Gariel returns and ask firms to put matters right if the margins were too tight.

Posted by: George Critchley

it doesnt work

Harry - you miss the point, the "desperation" if it was there, will still be there because £20,000 becomes the new Zero. If you breach it youre out of business, or else whats the point, as it could simply erode to zero anyway? And as has been pointed out many times, a firms contractual obligations dont cease the minute the FSA cancel advice permissions, so I doubt that employees, landlords, HMRC, utilities etc, will be happy to give up their claims on the £20,000 pot - dont forget such a firm is NOT insolvent at that stage; so the argument that it'll be there to meet compensation claims is ill thought through. All it does it trigger failures sooner, creates problems for clients who lose access to an IFA sooner(and perhaps totally unnecessarily) and makes doing business tougher and more expensive in the first place. Proof is out there - cap ad has been in for ages and doesnt seem to have reduced the FSCS levies? It would actually be relaly helpful to know specifically how much has actually been provided to reduce FSCS levies by the cap ad funds held by failed firms so far???

Posted by: Paul HArding

missing the issues...

money in the bank allows you to focus more on the business or does it? Three months of net income needs is not an awful lot of money if your business model is wrong, there will still be nothing left by the time the creditors arrive at the front door. The Cap Ad is a figure plucked from space, yet again it serves no real purpose because each buisness has different needs, good regulation and oversight is a must and a solid set of accounts.

Posted by: Fraser Brydon

Partners in Crimes.

Update .May 24th. - 2011. Nov23rd----Nov26th.2010. The following sent to ----312 Lords.------- House of Lords.( inc. Lord Myners.) The following sent to ----649.M.P’s--------House of Commons. BANK - PARTNERS IN CRIMES. Pictet & Cie Bank. Ivan Pictet. Nicolas Pictet. Charles Pictet. Jacques de Saussure. Jean – Francois Demole. Renaud de Planta. Philippe Bertherat.. Pictet & Cie.- claim they are the “Rolls Royce”of Swiss banks. Swiss Banks or more correctly Swizz banks. Swizz. ---- “ a great disappointment.” or a “ fraud.” Fraud. ---“ an intentional deception or dishonesty.”— “a crime.” Crime. ---“ an act committed or omitted in violation of a law.” Serious Crimes . Conspiring to pervert the Course of Justice. Perverting the Course of Justice. Contempt of Court. Pictet & Cie. Pictet & Cie Bank –Partners –(1996—2011 )- guilty. Peters &Peters – Partners.— (1999---2011 )- guilty. The bank and it’s officials/lawyers deliberately withheld crucial documents requested under a High Court order. The bank and it’s officials/lawyers deliberately withheld evidence from the Police, and one of it’s account managers Susan Broadhead gave a false witness statement . Another one of it’s managers Nicholas Campiche ( Now Head of Pictet – Alternative Investments.) concocted a letter pretending to be a client and closed his account. The senior partner (Ivan Pictet.) sought to have numerous documents destroyed,along with those copies held in their London office’s of Pictet Asset Management. Initially stating that they were forgeries then their lawyers Peters & Peters – Monty Raphael .Q.C.–and the barrister Charles Flint.Q.C. later had to admit in Court that the documents were genuine. British Parliament. Hansard .29th March 2007. Barry Sheerman .M.P.—quote. ---------“ Constituents of mine have lost £2 million through fraud. The fraudster used Pictet & Cie - - a French Bank - - and Pictet Asset Management to back the fraud being perpetrated.”” (1) It is a criminal offence for a bank to knowingly act for an undischarged criminal bankrupt in so far as it seeks to assist that criminal bankrupt in the fraudulent movement of monies. ( Money Laundering.) (2) It is a criminal offence for a bank to lie to the police and the bankrupts trustee in bankruptcy in so far as any knowledge of, or dealings with the bank was refuted . (3) A bank can be guilty of Contempt of Court if it fails to comply fully with the Courts order for discovery . (4) The banks contempt is further compounded if it fails to address its error after it is specifically drawn to the to its solicitors attention. ( Monty Raphael). (5) It is a criminal offence under the Financial Services Act to seek to destroy evidence that might be relevant to an investigation . (6) It is a criminal offence not to relinquish control of funds to the Trustee immediately the fact of the bankruptcy is drawn to the banks attention. (7) It is a criminal offence to lie or otherwise obfuscate the lawful and proper enquiries of the F.S.A. In the F.S.A. cover up , they concluded that there had been “ Rogue” elements in Pictet & Cie’s , London operations . They had been moved from their London Office so who was there left to prosecute. “ Unbelievable.” On Dec 9th,2008. the complaint was sent to 150 Members of the House Of Lords and 230 Members of Parliament. *** We thank --David Cameron. M.P. ( Canary Wharf Speech.) Dec. 15th. 2008. *** --Now ---- The Prime Minister. (1) Bankers who behave irresponsibly should face professional consequences. (2) If anyone is found to have behaved criminally they must be prosecuted. (3) The F.S.A and the Serious Fraud Office should be following up every lead, and investigating every suspect transaction . (4) We need to make it 100% clear –those who break the law should face prosecution. (5) That we make sure we root out any wrongdoing that may have happened, whoever is involved, however high or well connected they may be. The ‘Doyens’ of the establishment.’ ( Ivan Pictet and Monty Raphael.) Ivan Pictet. Managing partner in Pictet & Cie Bank . --- retiring -. 2010.? President of the Geneva Financial Centre. – stepping down. 2010.? World Bank.committee member. United Nations. Investment Committee member, Vice President – Global Humanitarian Forum. --- redundant.2010.? Member of the Henokiens. Blackstone Group --- Board Member. Past- President – Geneva Private Bankers association. Past –President – Geneva Chamber of Commerce and Industry. Monty Raphael.Q.C. ( Peters & Peters.) Quote.” ---- Doyen of U.K. Fraud lawyers. Head of Fraud and Regulatory Dept. --- stepping down.?. Member of the Law Society of England & Wales. International Bar Association Member. Director of Fraud Advisory Panel. Written Parliamentary Questions received by the table office .. (1) To ask the secretary of state what steps he is taking to ensure that Swiss Banks such as Pictet & Cie do not evade criminal prosecution under EU law even when the illegal act is committed by a London based subsidiary. (2)To ask the secretary of state what steps he is taking to protect the rights of UK citizens who seek redress following criminal activities by Swiss banks with subsidiary offices located in London. On Dec 9th,2008. the complaint was sent to 150 Members of the House Of Lords and 230 Members of Parliament. On Aug 19th.2009.another complainants file regarding the “cover up” was forwarded to the same 380 members. We started our campaign in June 2008 -- via the “net” to highlight our fight to get “justice”. In our second year campaign we hoped to reveal further damning evidence . Due to there being an on going Police investigation into our complaint we are at this moment unable to place dozens of documents on to the “net”. Again we thank other “ E- Mailers” for their information in relation to our campaign. Quote. ( America’s Top Lawyer .) You can be the richest man in the world with the best lawyers that money can buy but you cannot win against a man who has got nothing left to lose and is telling the truth. Truth Hurts. • Ivan Pictet. Announces stepping down from Pictet & Cie. 5th Feb 2010. June 2010 – stepping down as president. Geneva. Financial Centre. • Monty Raphael. Steps down as head .( Peters and Peters ) May. 2009. *** We note that there has been a sharp increase in Peters & Peters partners leaving to go to other practices. Moving does not alleviate them of any responsibility from any illegalities that may have occurred at Peters & Peters during their partnership tenure. From 1999 onwards. *** Were currently waiting to see if the West Yorkshire Police :- (1) Chief Constable ---- Sir Norman Bettison. (2) Forces Solicitor ---- Mike Percival. (3) Head of Economic Crimes Unit.--- Det. Chief Inspector Steven Taylor. -- continue to attempt to cover this case up like their F.S.A. Counterparts. If they do “ watch this space”) We have recently been informed that due to pressure from our M.P. that the Ministry of Justice have asked Lord Myners to investigate our claims that the F.S.A. covered up the illegal activities of Pictet Asset Management. London. They might as well have asked Ivan Pictet to investigate .or Friends Reunited. Lady Myners on Prix Pictet board. The consensus of opinion is the Pictet & Cie should be prosecuted , and that their banking licence’s should be taken away in the U.K. ( and fined.) Their solicitors at Peters & Peters --- struck off and prosecuted.. In America they would have all been in prison for the last seven years. Our Campaign’s Second Year Anniversary this week . Started June 6 th 2008. ( almost 4 million E-Mail in three years.) Still no injunctions - - -no writs - - - ( they can’t go to Court - - - - it’s all true.) *** the Bigger they are - - - - the harder they fall.!!! In America - - they would have all been in prison for the last seven years. Full Story. Go to search box on “Google” and insert ( Peters & Peters/ Pictet & Cie.) Or insert any of the following combinations. 1. Insert.---( Jacques de Saussure/ Monty Raphael) 2. Insert---( Ivan Pictet / Monty Raphael). 3. Insert---( Pictet& Cie/ Monty Raphael.) 4. Insert---( Charles Flint/ Monty Raphael) 5. Insert---( Nicholas Campiche/ Susan Broadhead). . 6. Insert.—( F.S.A./ Monty Raphael.) 7. Insert – ( F.S.A./ Pictet & Cie.) 8. Insert.—( Hansard/Ivan Pictet.) *** Latest News !.!. Bernard Madoff’s trustee suing Pictet & Cie. --- $156 Million. Rogue Pictet & Cie advisors sold Madoff Funds. Pictet & Cie helped thousands of rich Americans hide monies offshore. Madoff got 150 years in jail ---- surely the bank partners , their lawyers and “ advisors” should also get appropriate jail sentences.

Posted by: jack loach