Review | 19 February 2018



Key issues: Business account | Credit provider | Disputed ownership of account | Failure to follow instructions | Unauthorised transactions | Access denied to account








Summary of the complaint:








The consumer became aware in 2002 of the misnaming of the account into which its funds had been deposited with the FSP in 1999. Therefore, the time for the consumer to make a complaint about either:

  • the original misnaming of the account, or

  • the advice given by the FSP when the issue was raised with it by the consumer  in 2002,

    has elapsed.


  • Further the question of ownership of the funds held by the FSP is in dispute and that this dispute is not fundamentally between the consumer and the FSP but between the consumer and a new association.

  • Alternatively, it was found that the dispute is more appropriately dealt with by a court and not CIO.

  • The actions of the FSP in freezing the funds in the disputed account until a resolution of the dispute over their ownership were found to be fair and reasonable in all the circumstances.

  • The Determination does not entirely adopt the reasons set out in our Review dated 16 March 2017 (the Review) but the outcome of the Review is affirmed.  

  • The complaint is not upheld.

Download Determination.