London Capital and Finance

jimjames wrote: »

I'm sure the bondholders will be fascinated to see where some of their money might have gone

https://www.facebook.com/bedemanagement/videos/2059062010792945/

At least MJS Capital had the decency to blow investors' money on a ball at the Tower of London featuring cigar tasting and a solid gold AK-47, not some crappy fete. And MJS Capital took in a tenth of the money that LCF did.

bail-in wrote: »

Has anyone else here noticed the Forum Team editing out again LCF and related companies' names of directors as in my post and the preceding #460 post by Sledger. The lists of names of company directors is in the public domain and can be found in company credit reference agencies and Companies House. If a list was made of all the LCF linked companies with the names of the directors and posted here I do not see the reasoning behind why the directors would request the names to be removed and that request acted on. Perhaps it is an issue of context.

There is a rule about sharing personal information on the forum. It's notable that the links to companies house pages were not removed, so it is probably necessary to provide offsite links to the information and only discuss it in general terms in the thread.

bail-in wrote: »

That "c....y" fete you refer to cost £60 a ticket!

To be fair they do appear to have invited investors to attend. Surprised that didn't start to ring any alarm bells over the use of their money a bit earlier.

Using the figures from the Evening Standard suggesting that LCF were paying Surge Financial up to 20% commission for bonds that they introduced that could mean that up to £40 million of the £200 million money that investors thought was being loaned out never was. It also means that for an investor in a 1 year bond the guaranteed return that LCF would need to obtain would be 33% in order to be able to return the investor's capital at the end of the year.

Even worse the money from investors wasn't received in one hit, different people paid in over a period of time so money could not be lent immediately. LCF claimed that one bond sold in 7 months. Even if you assume an optimistic 3 months to collect enough money to be able to lend it out to companies that means the 33% return has to be made in only 9 months. If it actually took 6 months to collect enough money to loan out then they'd need a 66% return to be generated to pay back the investors.

The numbers just don't add up to be able to make this work in reality. No wonder FCA are digging into it.

bail-in wrote: »

However, if enforced, this would mean that no personal name of anyone in the world could be posted in any of the forums, including the forums' founder's name. If it only applied to forum users, the director names would not have been removed.

Hence the reason I've been posting a lot of details elsewhere to avoid information being removed. I'd suggest posting the names as comments in one of the posts here so they remain visible.

https://damn-lies-and-statistics.blogspot.com/2019/01/who-owns-london-capital-finance.html

An excellent summary of the situation from {text removed by MSE Forum Team} here

https://www.facebook.com/groups/400375487372850/

Unfortunately it may bring some investors who are ignoring facts back down to earth with a bump

sully1311 wrote: »

Could you copy and paste what she has written as it's a closed group?

It's a video, so might be worth joining to view it. It's to help bondholders so anyone with info might be able to contribute

Upshot is that FCA have a lot of tools available to them to deal with issues but once it gets to the bank account freezing stage then it's pretty likely that they have already identified problems that may involve liquidation of the company. Very brief summary of what was a 15 min or so video explanation