The ban follows an investigation into how mortgage and general insurance networks were monitoring their members.
Commenting on the FSA announcement for those networks to stop recruiting pending improvement in their systems and controls, Frank Thurlby, compliance director at GHL Group, said: “This is all a bit unsettling for ARs of the new mortgage networks. Some may be wondering if their principal is one of the “four” and if so the implications of the FSA action. We had our FSA ARROW visit in March and have had no restriction placed upon our recruitment.
"GHL Group has been actively recruiting new ARs since Mortgage Day as the FSA Register clearly shows and we expect to sign off another 12 ARs in the next few weeks. A principal who has nothing to hide will be more than willing to confirm that its systems and controls are deemed adequate by the FSA and I encourage all ARs to contact their principals if they are concerned.”
