Firm that advised clients on unlisted shares among 12 declared in default by FSCS

The lifeboat fund said Oxford Renewable Fuel was advertised as a market leader in renewable energy, producing commercial quantities of biofuel. 

Oxford Renewable Fuel raised £7m from around 340 investors through various introducers and a number of IFAs, including Saxon Capital Ltd. Saxon Capital was dissolved in March 2017 and, now it has fallen to the FSCS, customers can claim against the firm in a bid to receive compensation for the advice they received.

The list of firms declared in default by the scheme in April included Berkeley Burke SIPP Administration, which PA reported on recently, as well as discretionary fund manager Greyfriars Asset Management. 

In the case of Greyfriars AM, the claims pertain to six of its discretionary portfolios, numbered one to six. In 2016 the Financial Conduct Authority told the firm to cease accepting new money into the sixth on a permanent basis.

The FSCS said many of these customers with claims against Greyfriars were advised by IFAs to transfer their existing pensions into SIPPs made up of high risk, non-standard investments, many of which have now become illiquid, which means they can't currently be sold or traded.

In total, 12 financial services firms were declared in default in April by the FSCS.

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