Britain's investor safety scheme has failed to protect the victims of a major authorised business linked to fraud, leaving investors like Richard Guest out of pocket

In what is thought to be the first case of its kind, Britain's investor safety scheme has failed to pay out to everyone who lost money through a major authorised business linked to fraud.

This was a business that was authorised and regulated by the FSA who took investors money, who wereauthorised to take investors money. The FSCS say that they are onmly going to pay out on ISA cases as KeyData did nothinhg wrong and were the subject of a fraud.

Many Advisers are concerned that they will be sued and held responsible for the failings of the FSA by their clients.

It is completely unreasonable for an IFA who recommends an investment from an authorised and regulated firm to be held liable for something that was hidden from the regulator.