The Financial Services Compensation Scheme (FSCS) has paid out £3m in claims related to collapsed advisory firm Bentley-Leek Financial Management (BLFM), which had advised clients to invest in failed overseas property schemes that it was also in charge of.
The FSCS officially declared the IFA in default in June after which it received 262 claims over losses. The scheme said it has so far made 87 decisions and made offers on 70. More than 300 customers lost money after investing a combined £35m in failed property vehicle Bentley-Leek Properties, which invested in property developments in the UK, Dubai, Canada and Zanzibar, between 5 March 2004 and 23 November 2010. Two BLFM directors, Mark Bentley-Leek and Mustafa Dervish, were fined and banned by the Financial Conduct Authority (FCA) in October for misleading investors to invest in t...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
