CARTEL UNDER INVESTIGATION BY MINISTRY OF JUSTICE
Manchester-based claims management firm Cartel Client Review is being investigated by the Ministry of Justice, according to a report on BBC Radio 4's Money Box.
The company responded by denying that it was under investigation, but the BBC claimed that unnamed sources had confirmed the probe, saying it had been instigated after a number of complaints.
For an upfront fee of up to £495, the company offers to help customers bring claims against lenders for mistakes in their credit agreements. The fee is refundable if the claim is not successful.
The BBC said it had been contacted by customers of Cartel who say they have paid in some cases thousands of pounds to get credit cards and loans written off, or to get compensation on their mortgages.
Despite being told their claims would be resolved in six to 12 months, many said they were still waiting two years later. Cartel told the BBC the delays were due to the company waiting for judgments in court.
Cartel, which is based at Universal Square in Ardwick and headed by chief executive Carl Wright, denies it is being investigated by regulators, saying it had "always maintained a strong relationship with the Solicitors Regulation Authority and the Ministry of Justice”.
