The UK's High Court has shut down a number of investment companies that ran a £2m investment scam, which falsely claimed to be regulated, the Insolvency Service said on 26 October.
In a statement, the Insolvency Service said the Sentor group of companies, comprising Sentor Solutions Commercial Ltd, Fabcourt Developments Ltd, Sentor Solutions Advisory Ltd and Sentor Solutions Ltd had been wound up by the High Court and the Official Receiver appointed liquidator of the companies.
The latter two companies changed their names and most recently traded as Hall Contracting Services Ltd and Clarkson Murphy Partners Ltd respectively.
Promotional material provided by Fabcourt Developments to investors stated that Sentor Solutions Commercial and Clarkson Murphy Partners were the Security Trustee for the investment scheme, which promised fixed rate investment products known as ‘convertible loan notes' with high monthly or quarterly interest rates for a duration of 2-3 years.
Fabcourt Developments was in fact the successor to Sampson Property Developments Ltd, previously known as Texmoore Limited, which had operated the same scam until it entered into compulsory liquidation on 23 March 2022 following a creditors petition.
Between them, the companies took over £2m from investors, plus a further $500,000.
Both Clarkson Murphy Partners and Hall Contracting Services had also been said to be Security Trustees for Sampson Property Developments scam.
In addition, the companies also told investors that the loan notes were "government-backed", and even that their investments were covered by the Financial Services Compensation Scheme (which would have entitled them to compensation if the investment failed).
The Insolvency Service investigation into the companies established that the Sampson Property Developments and Fabcourt Developments schemes were part of an investment fraud collectively operated by the companies.
The investigation found that, having received funds from would-be investors in the Sampson Property Developments and Fabcourt Developments schemes, the companies would make a handful of monthly interest payments on their investments before going silent and leaving investors substantially out of pocket.
The properties set out in promotional materials were found to be owned by unrelated entities, and videos promoting the investment schemes had been cloned.
Edna Okhiria, chief investigator at the Insolvency Service, said: "It is undeniably in the public interest for these companies to be prevented from continuing to trade, which will enable the Official Receiver to carry out further investigations into the activities of the Companies to establish the extent of its liabilities, the position as regards any assets, the whereabouts and conduct of the directors and any other culpable parties.
"These companies operated a fraudulent scheme whereby they mislead the public, falsely claiming that the Texmoore and Fabcourt investment schemes were regulated to provide the veneer that funds invested were protected when in fact they were not. These claims induced investors to invest substantial sums.
"The companies then failed to make more than a few monthly interest payments, leaving investors substantially out of pocket.
"The Insolvency Service, alongside our partner agencies, continues to investigate schemes such as these and to pursue enforcement against those responsible for facilitating them."
