London Capital and Finance

Reed_Richards

The Financial Times has a paywall but the headline article today (featured here https://www.bbc.co.uk/news/blogs-the-papers-47714988 ) says:

LCF savings scheme channelled millions to chief before collapse

jaybeetoo

Investors’ money ‘traced to four men’ https://www.thetimes.co.uk/article/london-capital-finance-investors-money-traced-to-four-men-wpgrtb8hd?shareToken=9f89bbeca2a700ee4040ae7370065b82

Missing millions tied to ‘suspicious’ loans https://www.thetimes.co.uk/article/missing-millions-tied-to-suspicious-loans-5hcfwdfwn?shareToken=1740ba71bbdfe4d250a56220fa5cc63b

Reaper

Thanks for the newspaper links above (you can get to the FT one if you type the article title into Google). They are a lot more detailed than the dumbed down BBC stories.

The Times says:

Finbarr O’Connell, of Smith & Williamson, told The Times that £135 million “is not accounted for” from a web of companies with interests in leisure and property that so far have been unable to repay loans. Mr O’Connell declined to say how much was believed to be in the possession of the four men.

I can guess how much.

As said previously I am surprised they did not make more effort to disguise the losses as legitimate but risky investments. Maybe after years of getting away with it they thought it would carry on for ever.

Reaper

Supercalafragalistic wrote: »

And whats happened to the pied piper who led the people to this merry dance......?

In the fable he got away with his crime. I'm fearing the same in real life.

Southeycapital

HI All,

First time poster here.

I'm keen to understand what documentation investors received at sign-up and what regular documentation they received with respect to interest or custody of their bonds, if they were ever bonds really. To me an interesting question is did investors ever receive a bond if so how? I can find a prospectus, but no ISIN and no reports of a bond listed anywhere.

It seems really unlikley that the persons investing smaller amounts would have had a securities custody account to hold a bond, so I suspect that investors didn't really have a bond in the first place.

best, Robert

Malthusian

Southeycapital wrote: »

I can find a prospectus, but no ISIN and no reports of a bond listed anywhere.

These were "minibonds", so no listing and no ISIN.

"Bond" is a generic term in finance with a wide range of potential specific meanings, and can be used to describe a loan note to a company, which was what investors had here.

AnotherJoe

Southeycapital wrote: »

HI All,

First time poster here.

I'm keen to understand what documentation investors received at sign-up and what regular documentation they received with respect to interest or custody of their bonds, if they were ever bonds really. To me an interesting question is did investors ever receive a bond if so how? I can find a prospectus, but no ISIN and no reports of a bond listed anywhere.

It seems really unlikley that the persons investing smaller amounts would have had a securities custody account to hold a bond, so I suspect that investors didn't really have a bond in the first place.

best, Robert

"Bond " in these terms is a meaningless word.

Southeycapital

AnotherJoe wrote: »

"Bond " in these terms is a meaningless word.

Thanks AnotherJoe and Malthusian.

Do either of you know how the investment that investors made was structured then and do you know of anyone that has made public copies of the documentation that LCF issued upon confirming a investment made?

thanks for your help, looks like you two have been trying to warn people of LCF for a long time

Supercalafragalistic

Southeycapital wrote: »

Thanks AnotherJoe and Malthusian.

Do either of you know how the investment that investors made was structured then and do you know of anyone that has made public copies of the documentation that LCF issued upon confirming a investment made?

thanks for your help, looks like you two have been trying to warn people of LCF for a long time

There’s lots of copies of documentation if you join one of the fb sites

eskbanker

Southeycapital wrote: »

do you know of anyone that has made public copies of the documentation that LCF issued upon confirming a investment made?

Sorry, there doesn't appear to be any LC&F documentation left....