Finance consultant wins dismissal case against Cumbrian accountant's firm

By Phil Colman

Last updated at 11:33, Thursday, 16 August 2012

A mortgage consultant has won her case against a firm run by the accountant David Allen and been awarded more than £7,000 in compensation.

Joanne Faithorn

Joanne Faithorn, 41, resigned from her job with David Allen Wealth Management Limited at Dalston in February.

At a tribunal in Carlisle this week, she claimed constructive dismissal – which means that her treatment at work left her no alternative but to resign.

Mr Allen and a number of his staff gave evidence at the hearing into claims by Mrs Faithorn that the firm failed to follow its own disciplinary procedures after she made an unsuccessful mortgage application on behalf of a client.

The client suggested she had “falsified” figures which were incorrect.

Managers at the firm investigated the case and then wrote to Mrs Faithorn, summoning her to a disciplinary meeting – despite them not having heard her side of the story.

Soon afterwards, she was signed off sick by her doctor after complaining of work-related stress.

When her solicitor asked for more information about the investigation, the firm wrote back saying it would only supply this on her return to work.

Judge Andrew Buchanan said: “If ever there was an example of an inadequate reply in response to grave concerns of the procedure, that was it.

“Everything smacks in that letter of a decision to move to disciplinary action without the claimant being able to comment and give her version of events.

“It seems to me that the letter was utterly flawed. It robbed the claimant of the right to an investigation.”

In evidence, it emerged that Mrs Faithorn was asked to process a buy-to-let mortgage application from a long-standing client of the firm. The application ran into problems because the woman was effectively a first time buyer, though she told Mrs Faithorn she was already a home owner, the tribunal heard.

The client complained to the firm and said she feared losing her deposit having bought the property at auction. Mr Allen visited her house and said he was disappointed and agreed to reimburse the firm’s fee.

Mr Buchanan said he found no culpability by Mrs Faithorn that should reduce the amount of compensation he awarded. The final figure was £7,179.12.

He found that she had been constructively dismissed.

Mrs Faithorn’s solicitor, Sir David Hart, said: “This ruling vindicates my client and clears her of all the allegations of misconduct. The judge was extremely critical of the firm’s handling of the case.”

In her evidence, Mrs Faithorn said she received no support from her managers after the allegations were made. Her husband John, 48, said: “It’s been very stressful but she had to clear her name.”

First published at 11:27, Thursday, 16 August 2012
Published by http://www.newsandstar.co.uk