FSMA 2000 s.231 – Ombudsman’s power to require information

(1)An ombudsman may, by notice in writing given to a party to a complaint, require that party—

(a)to provide specified information or information of a specified description; or

(b)to produce specified documents or documents of a specified description.

(2)The information or documents must be provided or produced—

(a)before the end of such reasonable period as may be specified; and

(b)in the case of information, in such manner or form as may be specified.

(3)This section applies only to information and documents the production of which the ombudsman considers necessary for the determination of the complaint.

(4)If a document is produced in response to a requirement imposed under this section, the ombudsman may—

(a)take copies or extracts from the document; or

(b)require the person producing the document to provide an explanation of the document.

(5)If a person who is required under this section to produce a document fails to do so, the ombudsman may require him to state, to the best of his knowledge and belief, where the document is.

(6)If a person claims a lien on a document, its production under this Part does not affect the lien.

(7) “Specified” means specified in the notice given under subsection (1).

Read section 231 in the full Act → Definitions (3) Cases (3)

Definitions used in section 231

Specified: (5) “Specified” means specified in an order made by the Treasury.
Defined in s.22(5) · see it in the full Act
documents: “documents” includes information recorded in any form and, in relation to information recorded otherwise than in legible form, references to its production include references to producing a copy of the information in legible form , or in a form from which it can readily be produced in visible and legible form ;
Defined in s.417(1) · see it in the full Act
claim: “claim”, in relation to the Financial Services Compensation Scheme under Part XV, is to be construed in accordance with section 214(1B);
Defined in s.417(1) · see it in the full Act

Cases considering section 231 (3)

Williams, R (on the application of) v Financial Ombudsman Service

[2008] EWHC 2142 (Admin) · 3 July 2008

Confirms the ombudsman’s power to require information and documents considered necessary for determining a complaint. That power forms part of the flexible evidential regime and may need to be used in complex or uncertain cases. (see paras [19]-[21]; [45]-[46])

Linear Investments Limited, R (on the application of) v Financial Ombudsman Service Limited

[2024] EWHC 1428 (Admin) · 13 June 2024

Confirms the Ombudsman’s power to require specified information or documents from a party. (see para [28])

Chancery (UK) LLP, R (on the application of) v The Financial Ombudsman Service Ltd & Anor

[2015] EWHC 407 (Admin) · 20 February 2015

The Ombudsman's power to require parties to supply information assisted its fact-finding, although it did not extend to non-parties. That limitation did not make the refusal to defer to court proceedings irrational (see para [130]).

What each judgment says about section 231 is in the case-law panel in the full Act.

Explanatory note

450.The efficient settlement of complaints under the compulsory jurisdiction will sometimes require the scheme to obtain information from the parties to the dispute. This section provides the scheme operator with powers to require parties to the complaint to provide specified information which it considers necessary for the fair determination of the complaint. It is not expected that these powers will be used on a routine basis. The Authority will also have powers to make rules requiring authorised persons to co-operate with the scheme. It will be in the interests of the complainant to co-operate.

All the explanatory notes for the Act

Amendments and notes

4 notes from legislation.gov.uk

Modifications

C991S. 231 applied (1.12.2001) by S.I. 2001/2326, arts. 1(1)(b), 11(5); S.I. 2001/3538, art. 2(1)
C992Ss. 228-232 applied (31.10.2004 for certain purposes and 14.1.2005 otherwise) by The Financial Services and Markets Act 2000 (Transitional Provisions) (Complaints Relating to General Insurance and Mortgages) Order 2004 (S.I. 2004/454), arts. 1(2), 5
C993S. 231 applied (E.W.S.) (29.11.2018 for specified purposes, 1.4.2019 in so far as not already in force) by The Financial Services and Markets Act 2000 (Claims Management Activity) Order 2018 (S.I. 2018/1253), arts. 1(2)(3), 79(1)
C994S. 231 applied (28.1.2021 for specified purposes, 30.7.2022 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2021 (S.I. 2021/90), arts. 1(2)(3), 15(1)