UK IFAs are among hundreds of creditors facing severe losses in a £60m property scheme marketed as low risk but "tainted with illegality", according to the firm's liquidators.
The Louis Group, a South African firm with a wide range of companies located in the Isle of Man, saw parts of the business enter into administration in 2012 after being unable to pay back investors. A report from liquidators PwC seen by Professional Adviser's sister title Investment Week said the collapse affected 700 investors with around £60m of assets. The largest investor backed the venture with £5m, although the majority were smaller investors with between £10,000 and £30,000, and are understood in part to be the clients of UK-based IFAs and wealth managers. Investments were spre...
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