The Ministry of Justice (MoJ) has suspended the authorisation of Manchester-based claim management company Cartel Client Review (CCR).
CCR will no longer be able to carry out any claims management services.
The MoJ said it will be monitoring the situation and will consider the next appropriate steps.
Consumer Credit Litigation Solicitors, who provided legal services for clients of CCR, were recently closed down by the Solicitors Regulation Authority (SRA).
On 1 March, the MoJ confirmed that the Claims Management Regulator was investigating the claims management firm.
CCR, which launched in 1997, dealt with claims surrounding credit cards, mortgages, car finance, repossessions, unsecured loans and bank charges.
Cartel Client Review has trained over 4,000 representatives since its launch, a huge proportion of whom are financial advisers, to act as agents for the firm.
