Chat on WhatsApp

0114 266 4216

June 6, 2024

FSCS investigating claims as Tenet Group enters administration

The FSCS is investigating claims after Tenet Group Ltd went into administration along with three of its subsidiaries – Tenet Ltd, TenetConnect Ltd and TenetConnect Services Ltd.

It was announced on 5 June 2024 that the directors have appointed Ed Boyle, Howard Smith and Rob Spence of Interpath Ltd as Joint Administrators of Tenet Group Ltd.

Ed Boyle and Rob Spence were also appointed as Joint Administrators of Tenet Ltd, TenetConnect Ltd and TenetConnect Services Ltd.

Tenet Mortgage Services Ltd and Tenet Financial Services Ltd have stopped trading but have not entered into administration.

Tenet Network Services

TenetConnect Ltd and TenetConnect Services Ltd are authorised and regulated by the Financial Conduct Authority (FCA).

According to the FCA they used Tenet Network Services and TenetConnect as trading names.

TenetConnect Ltd and TenetConnect Services Ltd oversaw networks of financial advisers, who operated as Appointed Representatives (AR’s).

AR’s are legally able to carry on regulated activity (like advising on investments) without being authorised by the FCA. This is because their conduct is the responsibility of an authorised firm also known as ‘the principal’.

In this instance TenetConnect Ltd and TenetConnect Services Ltd were the principal firms.

TenetConnect Ltd and TenetConnect Services Ltd are subsidiaries of Tenet Group Limited, which has been winding down its operations.

The FCA’s update says that customers’ existing products (for example ISAs, pensions, existing mortgages and insurance products) are not affected by the administration of TenetConnect Ltd and TenetConnect Services Ltd.

 

Latest on TenetConnect Ltd and TenetConnect Services Ltd

TenetConnect Ltd and TenetConnect Services Ltd were both responsible for the regulated activities of number of appointed representatives. The names of which are listed on the FCA register entries for TCL and TCSL.

The FSCS says it is aware that a number of customers were due to be contacted as part of a past business review into Defined Benefit pension transfer advice.

It confirmed that this advice was given to these customers by Appointed Representatives who were under the regulatory responsibility of TenetConnect Ltd and TenetConnect Services Ltd.

It’s possible that these customers could be eligible to claim compensation from FSCS.

The FSCS is working closely with the Joint Administrators to secure data to address these potential claims.

 

FSCS Claims TenetConnect Ltd and TenetConnect Services Ltd

The FSCS is not currently open to claims against TenetConnect Ltd or TenetConnect Services Ltd. This is while it processes the data provided about past business reviews.

It said that “in our experience is likely to take several months.”

The latest FSCS update also advised customers that it’s handling the failures of Tenet Connect Services Ltd and Tenet Connect Ltd together.

However, there are individual ‘failed firm’ pages on its website as both firms were FCA authorised in their own right.

The FSCS also stated that it is not accepting claims for other types of compensation at this moment.

The next update will be provided by FSCS by the end of August 2024.

Important Information!

You are not required to use our services to pursue your claim. You can also seek further advice or shop around subject to any time limits within which a claim must be made.

It is possible for you to present the claim for free, either to the firm or person against whom you wish to complain or to the statutory ombudsman (Financial Ombudsman Service or Pension Ombudsman Service) or the Financial Services Compensation Scheme, whichever is applicable to your claim.