Brokerage denies ex-employee&#39s malpractice accusation

Master broker theblack&whitemortgagecompany has strenuously denied allegations of malpractice made by a former employee.

Several claims against the brokerage, which appointed its 200th mortgage adviser in July, have been made by the former employee. But chairman Chris Ollerenshaw denies the claims.

He says: “This is obviously one of our ex-sales staff who has become a little disgruntled. While I regret that you can&#39t always get on with everyone that you want to, I am delighted with the installation of our AMCAT system and we do not and will not target clients because it is against the law.

“What we will do is contact clients between 2pm and 9pm to see if we can demonstratively save them money on their monthly outgoings through either the consolidation of credit cards, car loans or other outstanding credit. I am looking to grow a business that people want to be part of and that trades scrupulously and honestly.”

The Office of Fair Trading laid down guidelines on non-status lending in December 1997, saying that brokers and other intermediaries should not use high-pressure selling techniques or engage in the aggressive promotion of loans.

OFT spokesman Mark Kram says: “Non-status lending should not be done on a cold-calling basis. Obviously if we found people breaking our guidelines we would have to investigate to see whether they are fit to hold a consumer credit licence.”

Ollerenshaw adds that theblack&whitemortgagecompany sells its own single premium PPP products on a voluntary basis with clients asked to sign a disclaimer to prove the option had been discussed with them.

He says: “This business has come from nothing to 200 advisers in two years and you don&#39t do that if you are not of a reasonable standard with business ethics.”