Fraud Probe Launched in Independent Collapse

The U.K.’s Financial Services Authority, which oversees the insurance industry, has asked the country’s serious fraud office to investigate certain aspects surrounding the collapse of Independent Insurance Co., which was put into liquidation yesterday. (See previous article)

The serious fraud office usually takes over investigations when the possible amount involved exceeds £1 million ($1.4 million). It will examine the possible liability of officers and directors arising from failures to enter a number of loss claims into the company’s financial records, and will then determine whether to launch a full investigation..

PricewaterhouseCoopers, which is handling the liquidation procedure, announced that it was establishing the priorities of Independent’s creditors, with state tax, customs and unemployment services being first in line, followed by Independents policyholders.

Topics Fraud