On 9 July 2010, the Financial Services Authority (FSA) fined David Head £10,500 for putting customers at risk of receiving unsuitable advice on Payment Protection Insurance (PPI). Head, a director of Essex based mortgage and insurance broker network, FT Compliance Services Limited, and an FSA approved person, failed properly to supervise insurance and mortgage brokers who advised on PPI sales.
The FSA investigation found that when a single premium PPI was sold, the brokers did not properly consider the eligibility of the customer and failed to take into consideration any medical conditions or existing insurance that may have made the PPI unsuitable. There was also no evidence of customers being informed that PPI could be purchased from other providers.