Home secretary Theresa May has written to the Financial Services Compensation Scheme about its decision to compensate some Lehman-backed NDFA structured products but not others.
Billions of dollars of the US investment bank's debt were packaged as structured products and sold to retail savers worldwide. When Lehmans collapsed in September 2008, the investments became worthless. About 2,000 investors in 'Capital at Risk' plans run by failed firms Arc, NDF Administration and Defined Returns Limited (DRL) have been told by the FSCS that they are not eligible to claim compensation for their losses. The son of one Capital at Risk investor, who is 93 years old and invested £50,000 without the advice of an IFA, who lives in May's constituency, has met with the home ...
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