The Financial Conduct Authority (FCA) has obtained High Court approval for a scheme to return £2.5 million to compensate victims of a series of unauthorised collective investment schemes.
Between 2005 and 2010, approximately 800 people invested approximately £32.8m in unauthorised collective investment schemes established and operated by Countrywide Land Holdings Limited, James Kenneth Maynard (trading as Regional Land and Countrywide Land Holdings) and Stephen Ronald Watkins (trading as Consolidated Land UK). These schemes involved the unlawful selling of plots of land.
The FCA has recovered £2.5 million from the liquidation of a related Panamanian company, Paradigm Consultancy SA, and this amount will now be distributed to the 573 qualifying investors identified by the FCA.
Mark Steward, Executive Director of Enforcement and Market Oversight at the FCA, said: ‘Investment promising high returns means there is a high risk investors will lose their money. Sadly, this is what happened here. We have worked very hard to identify people eligible to receive compensation from these schemes and are pleased to have been able to recover and return some of their money.
‘We would like to thank the Metropolitan Police and Trading Standards for their assistance with this matter.’
Notes to editors
- FCA urges victims to come forward[1]
- Information for investors in Countrywide Land Holdings Limited, Regional Land and Consolidated Land UK land banking schemes[2]
- FSA secures £32 million High Court judgment against three land banks (2012)[3]
- If you are considering making an investment in land see the FCA’s information on land banking investment scams[4].
- If you think you may have been approached by an unauthorised firm or individual, you can check the FCA’s Warning List[5].
- On 1 April 2013, the FCA became responsible for the conduct supervision of all regulated financial firms and the prudential supervision of those not supervised by the Prudential Regulation Authority.
- The FCA has an overarching strategic objective of ensuring the relevant markets function well. To support this, it has three operational objectives: to secure an appropriate degree of protection for consumers; to protect and enhance the integrity of the UK financial system; and to promote effective competition in the interests of consumers.