Wexford firm fined by Financial Regulator

A Wexford-based financial services provider has been fined €23,000 by the Financial Regulator for overcharging customers.

The regulator found that Culleton Insurances Ltd inadvertently applied excessive broker fees to some customers' policies between August 2004 and October 2007.

The regulator also agreed with the company a schedule of repayments to affected customers or charity.

The breaches were discovered during an inspection by the Financial Regulator. The Regulator said that the firm "acted promptly to rectify the issues that were identified", including the appointment of an independent third party auditor to identify the level of overcharging, the amounts of overcharge involved and the affected customers.

The Regulator found that the company applied fees that were in excess of the maximum fees advised in the firm's terms of business document.

The Regulator said that it is advising all firms to review their Terms of Business document on a regular basis to ensure that it accurately reflects the terms upon which services are provided to customers at that time.

Since 2004, the Regulator has the power to impose fines of up to €5,000,000 on financial services providers in the case of a regulated entity, and fines of up to €500,000 in the case of an individual.