FCA secures sequestration order against Scottish broker who allegedly pocketed client premiums
A Scottish insurance broker faces bankruptcy and criminal trial after the FCA found he may have sold home and motor policies without passing premiums to insurers.
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Routine enforcement, with active consumer guidance.
The FCA has obtained a sequestration order (the Scottish term for bankruptcy) against Arthur Temlett, trading as Abacus Insurance Consultants, after concerns that he sold home and motor insurance to consumers without forwarding their premium payments to the underlying insurer. The Sheriff granted the FCA's application on 27 August 2026.
Emma Porter of Aver Chartered Accountants has been appointed as trustee. She will assess Temlett's financial affairs and seek to distribute any recovered funds to creditors.
This follows FCA action on 21 January 2025, when it stopped Temlett from carrying out any regulated activities, including acting as an insurance broker. Temlett is separately awaiting trial on criminal embezzlement charges brought following an investigation by Police Scotland.
Consumer redress routes
The FCA has set out the following guidance for affected policyholders. The Financial Services Compensation Scheme (FSCS) is open to claims against Abacus; affected customers can submit claims via the FSCS website. Anyone who believes they paid for a policy that does not exist should report it to Police Scotland by dialling 101 and quoting crime reference number CR/0470100/24.
The FCA advises that for the vast majority of consumers, hiring a claims management company (CMC) or law firm will likely cost more in fees than it recovers. Go direct to the FSCS.
Finally, watch for secondary fraud. Fraudsters sometimes impersonate the appointed trustee or the failed firm itself. Be wary of anyone claiming to be Abacus, Arthur Temlett, or the trustee and asking you to pay money to release funds.
For brokers and oversight teams
The mechanics here are instructive. The FCA used sequestration rather than a regulatory fine because there is no licensed firm left to fine, a route worth understanding if you oversee intermediaries. Sequestration gives a trustee access to Temlett's personal assets and creates a formal creditor process. The FSCS sits alongside that as a separate consumer protection route. Neither guarantees full recovery: the total premiums alleged to have been misappropriated, and the number of consumers affected, are not disclosed in the FCA's notice. If your firm handles client premiums, this case is a prompt to check that those funds are segregated and that your records could withstand an FCA review.
