HC Deb 26 January 1987 vol 109 cc82-3W
Mr. Bruce

asked the Secretary of State for Trade and Industry if he will establish a scheme under section 54 of the Financial Services Act 1986 to compensate clients of licensed share dealers who default on their obligation to buy shares, unit trusts and other securities.

Mr. Howard

Not in anticipation of the rest of new regulatory framework within which section 54 is intended to operate. Besides this, the application of the arrangements made in due course under section 54 retrospectively would run counter to the general presumption against retrospective legislation, and it is difficult to see how it could be arranged equitably.

Mr. Wrigglesworth

asked the Secretary of State for Trade and Industry, pursuant to his answer of 21 January, Official Report, column 583, what action has been taken or is proposed in relation to the junior official at the Office of Fair Trading implicated in the inquiry into insider trading.

Mr. Howard

The Director General announced on 27 January that he is reviewing the position of the employee concerned.