FSA fines Land of Leather for improper PPI sales

LONDON, May 12 (Reuters) - The UK's Financial Services Authority (FSA) said on Monday it fined furniture retailer Land of Leather Holdings Plc LAN.L and its chief executive for improperly selling payment protection insurance.

The leather sofa specialist had failed to ensure adequate training and did not conduct effective checks on sales staff selling the insurance despite having been authorised to sell the insurance since May 2006, the FSA said in a statement.

The FSA fined Land of Leather 210,000 pounds ($411,200) for allowing its sales force to sell the insurance without effective monitoring or training. Land of Leather Chief Executive Paul Briant was also fined 14,000 pounds for failing properly TO oversee the sale of the insurance, the FSA added.

"Retail firms whose primary business is not selling general insurance will be held accountable to the same regulatory standards as the rest of the financial services industry," FSA Director of Enforcement Margaret Cole said.

Payment protection insurance policies help policy holders repay debts if their income dries up. Land of Leather's shares are down 3 percent at 44.75 pence at 1055 GMT. (Reporting by Hsu Chuang Khoo; Editing by Quentin Bryar)