Royal & Sun Alliance today was fined £1.35 million ($2.05 million) by Britains Financial Services Authority for failing to redress 13,500 retail pension customers who collectively may have lost out on £32 million. The fine followed an extensive probe by the FSA that identified numerous errors in the money management firms pensions review process. Many customers who were entitled to additional money also were denied any process of review.
"R&SA failed in its identification of customers who might have been due redress, said Carol Sergeant, managing director for regulatory processes at the FSA. "It failed to complete review work on time, and its management failed to monitor the process effectively.
In a written statement released today, Duncan Boyle, Royal & Sun CEO, said, "Todays fine relates to certain past issues which we very much regret. We took urgent action to ensure the issues raised were resolved.