WE’RE WATCHING YOU

THE Financial Conduct Authority has banned the boss of a pensions advice firm from working anywhere in the financial services industry, four years after The Mail on Sunday warned that he was drumming up business through cold calls and false claims.

Omar Hussein ran Consumer Wealth Ltd, a Leeds business that advised more than 600 customers to switch their pension savings into high-risk schemes including overseas investments in car parks and holiday resorts. The watchdog has also fined Hussein £116,000, saying: ‘His misconduct put at risk an estimated £13.5million of customers’ retirement savings.’

In July 2017, I reported that cold calls were being made by a Lancashire firm, Knight Meade Ltd, calling itself ‘Pension Safe’ and claiming to be working with the Government to review everyone’s pension provision. This was false. Anyone who agreed to have their pension plans reviewed was then passed on to Consumer Wealth.

Neither Knight Meade nor Omar Hussein would answer questions. I provided details of their sales pitch to the FCA at the time, but it refused to comment.

The watchdog’s head of enforcement, Mark Steward, now says: ‘Mr Hussein acted recklessly and abused the trust of his clients by taking unjustified risks with their retirement savings.’

Consumer Wealth closed down in 2018 and is now in liquidation. So far, the Financial Services Compensation Scheme has met claims from 437 of Hussein’s customers, with more in the pipeline.

The scheme is funded by legitimate advisers who are still in business and will have to meet the cost of Hussein’s scam.