Capita settles Connaught claims for £18.5m
Capita has settled a claim brought against it as a former operator of the Connaught Income Series 1 Fund according to Money Marketing.
The firm’s half-year results, published today, show it paid £18.5m. It operated the fund – which was suspended in March 2012 – until September 2009.
The FCA is conducting a review into Capita and another firm’s role as operators of the fund. But Capita says it will not hold any cash against the outcome.
It says: “Due to the requirement to await the outcome of the formal review commenced by the FCA, the likely timeline for conclusion of this matter is uncertain.”
The results also reveal Capita has entered “full and final settlement” in relation to claims brought by Arch Cru investors. It does not reveal the terms of the deal but says the matter will be finished by the end of the year.
Capita paid £1.1m in professional fees relating to Connaught and Arch Cru in the half year.
The Connaught Series 1 fund was suspended in March 2012 and interest payments were not made to investors. A review was commissioned to ascertain its true value.