Milton Keynes-based financial adviser Chancery Partnership Ltd (FRN: 210093) has been declared in default by the Financial Services Compensation Scheme (FSCS) over 20 years after it lost regulatory authorisation.
The FSCS said it had received two claims against the company relating to investments advice.
One of the claims has been upheld triggering the default declaration. The FSCS has not provided details of the type of investment claims.
Chancery Partnership ceased to be authorised in July 2005 and was voluntarily struck off the Companies House register in November 2016 when the company was dissolved.
The declaration of default means that the FSCS will step in to pay compensation to ex-clients of the firm, up to £85,000 per successful claim, as the company does not have the resources to meet compensation claims.
The FSCS consumer safety net compensation scheme is funded by regulated firms.
The FCA register shows that more than a dozen people once worked for Chancery including CF1 directors: Peter Nichols, Elaine Sarah Roberts, Richard Charles Sparrow, Stephen James and Kathryn Ann Nichols.
The firm is the third week to be declared in default.
Sheffield wealth manager Green Wealth Management (FRN: 729066) was declared in default on 3 March and earlier in the week Campbell & Associates Independent Financial Advice Ltd (FRN: 602550) was declared as failed. Campbell & Associates’ director has been facing a £2.3m fraud charge.