Question to the HM Treasury:

To ask Her Majesty's Government what steps (1) they, or (2) any regulators, have taken to check whether the insurance security offered to investors by Greensill Capital was reflected in the policies secured from insurers; and whether any such policies were written by related parties.

Greensill is an international group of firms, including an Australian holding company and a German bank. There are two UK entities – Greensill Capital UK and Greensill Capital Securities Limited.

Greensill Capital UK is not authorised by the UK financial authorities. It is registered under Anti-Money Laundering regulations, which means that the Financial Conduct Authority (FCA) supervises it for compliance with anti-money laundering rules, but not for wider conduct issues.

Greensill Capital Securities Limited is not authorised or supervised by the FCA but was an Appointed Representative of a regulated firm (Mirabella Advisers). An Appointed Representative is a firm or person who carries out regulated activities under the supervision of a firm directly authorised by the FCA (known as a principal firm). A principal firm is responsible for ensuring that its Appointed Representative complies with the requirements, rules and regulations of the FCA.

HM Treasury has been working closely with the FCA and PRA to monitor developments and assess the implications for the financial sector, and with other government departments to understand any impacts that these developments may have on linked UK-based companies and the services they provide.