Over £20,678,3000 in exact amounts have been fined against Clydesdale Bank PLC for mishandling PPI complaints from 2011 to 2013 according to the Financial Conduct Authority in one of the largest historic fines the watchdog has ever dealt.
The FCA alleges that from May 2011 to July 2013, Clydesdale had implemented inappropriate policies that allowed PPI complaint handlers to avoid all relevant documents when dealing with complaints. Additionally, they said that from May 2012 to June 2013, Clydesdale had falsified information provided to the Financial Ombudsman Service as FOS requests information for Clydesdale records regarding PPI policies sold to consumers.
System printouts were altered to ensure Clydesdale and its personnel had no relevant documents. They had also deleted individual consumer information from separate printouts that listed products sold to the consumer.
Clydesdale’s PPI leadership team and senior management had not authorised the activities.
FCA Acting Director of Enforcement and Market Oversight Georgina Philippou said:
“Clydesdale’s failings were unacceptable and fell well below the standard the FCA expects.
“The fact that Clydesdale misled the Financial Ombudsman by providing false information about the information it held is particularly serious and this is reflected in the size of the fine.
We have been very clear about how firms should treat customers who may have been mis-sold PPI. In ignoring documents it held which were relevant to its customers’ complaints, Clydesdale failed to treat its customers fairly.”