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Bindman & Partners is set to make legal history by seeking a judicial review into the Government's refusal to follow the Ombudsman's recommendation on pension compensation.
The Ombudsman last month recommended that pension scheme members who lost savings when companies became insolvent should receive their losses in full, plus compensation. The Government rejected the report and Bindmans plans to challenge the decision through a judicial review.
Bindmans partner John Halford told The Lawyer: "It's disturbing that a department should reject, without qualification, the results of a thorough investigation. When this kind of thing happens there's very little alternative but to seek court intervention."
It is unusual for the Ombudsman's recommendations to be rejected and it is understood that this is the first time anybody has challenged such a rejection.
Halford, along with fellow partner Stephen Grosz, is acting in a pro bono capacity for a group representing 85,000 pension scheme members. The group is also being advised by independent pensions specialist Ros Altmann.