Pruggmayer also claimed that: “The Financial Conduct Authority seems to be disinterested in applying any pressure on UHY Hacker Young to achieve a fair and reasonable exit fee for Hartley Sipp holders.”
He added: “Meanwhile, Hartley Sipp holders are being blocked by UHY Hacker Young from unilaterally transferring out to a new Sipp provider of their choice.”
The spokesperson from UHY Hacker Young said the lack of accurate or up to date paperwork on investments held at Hartley and accounting and regulatory problems, mean the administrators have a "very complex job".
They added: “There have been various cost models discussed with an informal committee and the proposed Representative Respondents so that the fairest charge is made to each client.
"However the budget is set at its maximum and there is a refund mechanism within the model to facilitate a return to clients should the cost be less.
"We anticipate that the budget for the administration of Hartley will equate to around an average of 2.8 per cent of assets held by Hartley.
"However, that will be a higher percentage for some clients. We are making every effort to ensure that the administration is handled as cost effectively as possible.
“Unfortunately, as the costs of the administration are likely to be payable by investors in Hartley Sipps it is not possible to allow their transfer until the end of the administration.”
Pruggmayer has now asked Cash if he could make the issue of Hartley Pensions known to both Mel Stride, secretary of state for work and pensions and Stephen Timms, chairperson of the Work and Pensions committee.
Pruggmayer told FT Adviser: “Not one regulatory body, nor any politician seems interested in asking either how this situation came about, or putting pressure on anyone to resolve it.”
A spokesperson for the FCA said: “We continue to actively engage with the parties in this case, including the administrators, to ensure the best outcomes for consumers. The administrators are not regulated by the FCA and are answerable to the court, including in respect of the costs of administration.”
FT Adviser has approached Cash for comment.
amy.austin@ft.com
