Can a Company CIFAS Marker Affect Its Directors? A Successful Case Study

In recent months, MSB solicitors has seen an increasing number of CIFAS markers being recorded against companies and their directors. Drawing on our experience advising clients in relation to CIFAS markers and financial fraud databases, we recently secured a successful outcome for a company whose directors were being adversely affected by a marker recorded against the business.

As a result, although the marker had been recorded against the company, it was having a significant impact on the directors personally, affecting their ability to obtain finance and access financial services.

The directors initially approached MSB Solicitors after their company had been experiencing ongoing difficulties obtaining finance, without understanding the reason for those issues. Given our experience handling CIFAS-related matters, we identified at an early stage that a CIFAS marker could be the cause. However, upon obtaining and reviewing the relevant disclosure material and CIFAS data, it became clear that the marker had been recorded against the company with the directors' personal details linked to the entry.

The marker related to a car finance agreement obtained for an employee of the company. Following a detailed review of the evidence and the circumstances surrounding the recording, we concluded that the marker had been applied incorrectly and should not have remained in place.

Utilising our experience challenging CIFAS markers, we prepared an appeal highlighting the significant impact the marker was having on the directors personally, despite it being recorded against the company.

Following those representations, the marker was removed, allowing both the company and its directors to move forward without the restrictions that had arisen as a result of the CIFAS record.

We are pleased to have secured a positive outcome for our client. This matter demonstrates the importance of obtaining specialist advice where CIFAS records may be affecting an individual or business. In our experience, the underlying circumstances are often more complex than they initially appear, and a careful review of the available evidence can reveal grounds to challenge a marker that should not have been recorded or maintained.

MSB Solicitors has extensive experience assisting both individuals and businesses with CIFAS disputes, including obtaining disclosure, reviewing the evidential basis for markers, making representations to members and CIFAS, and where necessary pursuing complaints and legal remedies to secure their removal.

If you are a company director and are experiencing unexplained difficulties obtaining finance, opening bank accounts, or accessing financial services, please contact CifasMarkers@msbsolicitors.co.uk.   We can review the information held by CIFAS, assess whether any marker has been recorded incorrectly, and advise you on the options available to challenge and seek the removal of inaccurate data.”