Investment firm shut by FSA
The Financial Services Authority (FSA) has closed down a property investment firm that took £10m from 180 customers without proper regard for the laws that regulate UK investment.
The High Court has issued an injunction against the assets of Christian Orpin and Michael Vickery and their firm PDS Business Finance of High Wycombe in Buckinghamshire.
The FSA, which regulates UK investment, is trying to establish whether there are still any assets that could be given back to investors but is not confident that this will be the case. A spokesperson for the FSA said that they did not know exactly how much money had actually been lost. “We are still trying to establish if there are any assets left,” he continued.
The FSA, once it has concluded its investigation, has the power to insist on the repayment of customers’ money or to make the company insolvent. The directors could be banned from running an investment business or have criminal charges pressed against them. These sanctions are the primary means it has to safeguard UK investment.