QC to investigate Lautro leak: Heavyweight inquiry follows row with Pru over release of correspondence
Thursday 15 September 1994
The leak revealed an informal investigation by Lautro into the company's selling methods, which embarrassed the Pru because it had been boasting of its freedom from regulatory problems. The decision to call in an outsider to investigate underlines the seriousness of the row. Sources close to the investigation named Robert Carnwath QC as the lawyer, but Lautro - which yesterday formally agreed to hand over its responsibilities to the Personal Investment Authority - refused to comment.
Mr Newmarch said he was still waiting for the results of the informal Lautro investigation but the Pru had made no specific provision in its half-year results against the possible costs 'because we have not mis-sold'.
He accepted there could have been a handful of cases of sales staff acting outside the Pru's instructions.
Mr Newmarch was reporting half-year profits 16 per cent higher before tax at pounds 280m, helped by booming sales of unit trust personal equity plans. PEP sales were pounds 64m against pounds 12m a year earlier, while regular premium life sales fell from pounds 153m to pounds 126m.
The company also warned of another cut in bonuses on long-term life assurance policies next year.
The dividend was raised 8.9 per cent to 4.9p a share, despite predictions of subdued sales of long-term life assurance and a fall of a third in the group's profits when calculated on an accruals basis. Unlike pre-tax profits, this reflects long-term investment values.
auctionThe first 23 lots have now gone. But there are 22 more still up for grabs
tvSpoiler alert: Find out the result of a heated final show
Beatles rush out 'bootleg' album to defy EU copyright law
Geoffrey Macnab reviews The Desolation of Smaug - the meat in Peter Jackson's Hobbit sandwich
Harvey Weinstein reveals his secret weapon on-set
Now that an oil trader's drinking has got him sacked, will we all have to make do with an afternoon latte?
Chiwetel Ejiofor and Idris Elba get nods for Best Actor, which no black Brit has ever won
peopleWhat advice would David Cameron give to his younger self?
Auction house to give away $1m masterpiece in charity raffle - and tickets are only $100 each
Nelson Mandela memorial: ‘Bogus’ sign language interpreter made mockery of Barack Obama’s tribute in Soweto
Mystery of Epping Forest 'big cat' is solved
French café starts charging extra to rude customers
Australia: Gay marriage law reversed by high court less than a week after first weddings
Australia incest case: Severely deformed children found in remote farming community after generations of inbreeding
- 1 Nelson Mandela memorial: ‘Bogus’ sign language interpreter made mockery of Barack Obama’s tribute in Soweto
- 2 Mystery of Epping Forest 'big cat' is solved
- 3 French café starts charging extra to rude customers
- 4 Australia incest case: Severely deformed children found in remote farming community after generations of inbreeding
- 5 Physicists discover 'clearest evidence yet' that the Universe is a hologram
- < Previous
- Next >
iJobs Money & Business
£30000 - £45000 per annum + Bonus + Benefits: Harrington Starr: Regulatory Man...
£50000 - £75000 per annum + benefits + bonus: Harrington Starr: Pre-Sales / Cl...
£40000 - £60000 per annum + Bonus + Benefits: Harrington Starr: Regulatory Man...
£40000 per annum: Harrington Starr: Senior Network Engineer (CCNP, CCIE, Netwo...