UNION bosses have warned their members to beware of a firm of legal advisors pledging to raise a claim for union negligence.
But the firm in question has hit back, accusing the union of making false claims, with emails from regulators appearing to confirm no unauthorised action is ongoing.
Lanarkshire-based DM Legal Claims has been asking women involved in Glasgow's equal pay scandal for £100 up front to join a joint action against GMB Scotland, Unison and Unite.
Now GMB Scotland has sent a letter to its members telling them the firm is being investigated by the Financial Conduct Authority (FCA).
The message to members also claims DM have been taking money to sue trade unions for five years despite not having 'the skills, resources of experience to run those claims'.
The letter from GMB Scotland adds: "In short, DM Legal Claims Ltd are taking money from Equal Pay claimants, not doing anything with that money, are likely to be doing so illegally."
DM Legal claims, run by Donna-Marie Feenan, strongly refuted the claims.
Responding to GMB, the company say the allegation of illegality is a 'malicious and highly vindictive and dangerous claim to make' with 'no evidence to support this whatsoever'.
Representatives also say the FCA have given permission for the claims to continue, as they are designated as 'unregulated activity', with the company now registered and seeking approval from the regulator.
The letter continues: "Had you done what you are legally required to do, this situation would not even exist and we would not have had to step up to fight for justice for our invaluable working class clients."
The firm is understood to be planning to raise a claim against the unions for negligence towards their female members in how the equal pay claims against Glasgow City Council were dealt with.
Of the 16,000 mainly female workers to receive compensation over historic unequal pay, there is a divide between those who received 12 years of pay and those who received five.
A spokesman for GMB said: "We understand the activities of DM Legal have been reported to the FCA and they are investigating whether DM Legal are acting unlawfully."
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