Revealed: FSA chief's private advice to Arch cru investor in 2009

The FSA's director of supervision at its conduct business unit, Clive Adamson, told an investor in the Arch cru funds that complaining to their IFA was the ‘best course of action' in order to get some form of redress, as the scandal broke in 2009.

In a private email sent to the investor in September of that year, after the funds were suspended and valuations had fallen as much as 40%, Adamson said the best result would be if ACD Capita paid compensation. He said: "It seems the best case is that Capita make some sort of restitution for the lost value (unlikely to come from Arch as they don't really have any significant resources)." However, Adamson - at the time director of the FSA's Major Retail Groups Division - said this "may take time and depends on Capita having sufficient resources". As a result, he recommended the inve...