Treating Customers Fairly – who wouldn’t?

The latest Public Statement https://www.jerseyfsc.org/media/4841/hawksford-trust-company-jersey-limited-hawksford.pdf and fine issued by the Jersey Financial Services Commission (JFSC) in respect of Hawksford Trust Company Jersey Limited is therefore a salient reminder of the consequences of not ensuring that your business follows such fundamental principles. The cost is not so much in financial terms, but more the subsequent reputational damage that may ensue.

In the case of Hawksford, the JFSC are particularly scathing in highlighting the sustained period, some 16 years, over which these particular shortcomings persisted.

Our Joint Chair, Peter Mills, recently highlighted a number of issues salient to this particular case in his presentation at the Guernsey Association of Trustees AGM in July.  It’s worth having a look at the copy of this presentation here.  In particular Peter highlighted the sensitivities around the issue of fees and ensuring that trustees do not abuse their authorities in taking their own.

The Public Statement goes on to highlight a number of aggravating factors, including failure to prevent, adequately detecting and resolving issues over a sustained period.  In one instance, even after an independent external review had been undertaken, a breach was allowed to persist.

For an informal and confidential discussion on how our highly experienced and practically focused Advisory Services team can assist you in avoiding your own business finding itself in such a position, please contact us.