Cartel Client Review – one of the UK biggest claims management companies is shut down.

The Ministry of Justice (MoJ) has closed down Cartel Client Review (CCR) with immediate effect after it “failed to comply with conduct rules.”

The MoJ said it has been investigating one of the UK’s biggest claims management companies since February after receiving a large number of complaints from customers that the company owed them money.

MoneySavingExpert.com, the consumer information website, said it had forwarded more than 80 complaints about the company to the MoJ after receiving more than 100 from people who claimed to have spent hundreds, or sometimes thousands of pounds in fees but received no news on their case.

The MoJ said that unfortunately it cannot help individual cases due to the contractual nature of the relationship: “If you are a customer of CCR your agreement with them, as with any provider, is a private contractual matter between yourself and the provider in which MoJ cannot intervene directly because it is not a regulatory matter for which MoJ has responsibility.”

CCR Chief Executive, Carl Wright, said: “Cartel notified the MoJ that it had voluntary ceased taking new business on 10 March 2010. As a result, and following further discussions, it was entirely appropriate for the MoJ to suspend Cartel’s authorisation.”

The Solicitors Regulation Authority (SRA) has confirmed that it has also taken action to close Consumer Credit Litigation Solicitors (CCLS) – the company which provided legal services for clients of CCR – and said it has appointed a law firm to safeguard clients’ money and files.

The MoJ did confirm that it would be continuing to monitor the situation and considering what steps to take next.

CCR’s website has already been shut down but anybody who is worried about the news can get some sound advice from MoneySavingExpert, or they should contact the SRA, click here for contact details.