OBSI is defending its naming and shaming of firms that refuse compensation recommendations.
Read: OBSI defies common sense
“OBSI’s announcements of compensation refusals have occasionally been perceived as a ‘campaign’ against individual firms or even the financial industry in general. Such beliefs are mistaken. It bears repeating that publicizing refusals to compensate represents an obligation placed on OBSI at the time of our office’s creation.”
The ombudsman also addressed investor advocate frustrations over its lack of binding enforcement powers.
“OBSI and the financial regulators who oversee us will continue to evaluate the impact of the compensation refusal announcements, both on firms and the complainants who come to OBSI. But for the foreseeable future, OBSI’s principal tool to incent cooperation will continue to be so-called ‘name and shame.’ ”
Read more here.