On 24 July 2019, the FCA register was updated to reflect the requirements imposed on Ipagoo LLP by the FCA Regulatory Decisions Committee, including:
- the firm must not carry on any regulated activities
- it must not dispose of its assets or any of the funds it holds in relation to e-money services
- it must set out a statement on its website and communicate to customers that it is no longer permitted to conduct any regulated activities
This was to protect the interests of Ipagoo’s customers.
On 1 August 2019, Ipagoo appointed Jason Baker and Geoff Rowley, partners at specialist business advisory firm FRP Advisory LLP, as Joint Administrators.
The administrators will contact all affected clients in due course.
Safeguarded Funds
Ipagoo holds funds on behalf of its customers. As part of the administration, the administrator will carry out an assessment of the safeguarded funds held by the firm to confirm the current position. Following which, the administrator will return the funds to customers as quickly as possible.
Safeguarding is a key consumer protection measure within the Electronic Money Regulations (EMRs) and Payments Services Regulations (PSRs). The purpose of safeguarding is, to protect customer money if a firm fails in a disorderly way.
Safeguarding requirements applied to Ipagoo LLP and were a condition of Ipagoo LLP’s authorisation that the firm must comply with at all times.
Financial Services Compensation Scheme (FSCS):
The FSCS only applies to certain types of activity and only where the firm has the correct FCA permissions to undertake that activity. This does not include issuing electronic money or payment services. Ipagoo safeguarded funds are not protected by the FSCS.
