The Mr S Limited Executive Pension Scheme (CAS-78433-Y1Y8)

Ombudsman’s Determination

Outcome

The complaint is not upheld against Rowanmoor as Administrator, as it was not its responsibility to carry out the level of due diligence suggested by Mr S, and because it fulfilled the duties it did have in relation to the Scheme adequately. 

The complaint should be upheld against RTL because it did not fulfil its duties as a trustee of the Scheme. As a part of these duties, it had a responsibility to consider whether the investment in GPG was appropriate in the circumstances. However, it failed to do so, the investment was not appropriate and thereby its actions caused the financial loss incurred by Mr S. 

Complaint summary

Mr S has complained that Rowanmoor failed to perform sufficient due diligence in relation to his proposed investments in Dolphin Capital GmbH, later called Dolphin Trust GmbH, and thereafter the German Property Group (GPG). He says these investments were high risk and not suitable for him. He would like Rowanmoor to put him back into the position he would have been in had the investments never occurred.