‘£1.2 billion is lost to investment scams in the UK every year’ – Financial Conduct Authority (FCA)

We all know there can be a fine line between a legitimate business failing and investment fraud – something may happen that causes a business to become fraudulent, or a scam can be set up and ran to look like a legitimate investment opportunity. Yet regardless of how investment fraud arises, if you get stung, the important thing to remember is to not give up hope.

At Selachii, our tenacious, commercially-minded fraud solicitors in London provide expert advice and assistance in all manner of investment fraud matters. We have a proven track record helping creditors and investors recover funds, both in the UK and abroad, with particular expertise in cases involving bitcoin scams and binary option trading fraud.

Give yourself the best chance of getting your money back. Contact us for more information.

Investment Fraud & Scams - What to do if you have been scammed

Investment rarely comes without a level of risk, but that risk increases exponentially for those unaware of the tactics of predatory fraudsters. The first protection against becoming a victim of a scam is to spot the signs:

• Any investment that sounds too good to be true probably is
• Be cautious of unsolicited phone calls, emails or letters offering one-off investment opportunities
• Don’t be pressured into an investment. Give yourself time to do due diligence so you can make an informed decision
• Get advice from a government body, such as the Financial Conduct Authority (FCA), or an independent professional financial adviser you trust
• Don’t be bitten twice. Avoid follow-on frauds, where scam organisers pass on the details of investors they’ve swindled to other fraudsters

The second protection is to get your money back by enforcing your rights as a creditor. We’ve recovered funds for our clients in a wide range of investment fraud and scam cases, including for those who have fallen victim to:

• Unauthorised firms and individuals running investment scams such as share fraud
• Cloned firms
• Bitcoin and other digital currency scams 
• Land development and banking scams
• Wine investment scams
• Carbon credit scams
• Boiler room fraud
• Ponzi or pyramid schemes
• Identity theft
• Mis-sold investments, such as pensions or bonds, by a bank or other financial adviser

Owing to our experience helping clients recover funds in investment fraud cases (such as those listed above), we have considerable knowledge of the sophisticated ways investment scams target investors and are operated, as well as how professional misfeasance can cause people to lose money. This expertise means we’re ideally placed to help creditors and investors get compensation by holding fraudsters and negligent professionals to account.

Investment Fraud: Our approach to recovering funds for victims of fraud

Even when companies have been set up with fake information, we’ve still been able to freeze bank accounts and other assets in order to recover funds on behalf of our clients. Our approach is based on our knowledge, experience and collaboration, working with forensic accountants and other experts, as well as national and overseas fraud agencies, in order to trace and recover our clients’ assets in both the UK and abroad.

There are many difference legal avenues open to investors and creditors who have fallen victim to an investment scam or fraud and looking for recourse. At Selachii, we explore each of these and carry out thorough investigations to find the best possible solution for our clients.

In most cases, legal action is taken against the company responsible for eliciting the investment by serving a winding-up petition to enforce the payment of debt. The matter goes to the Official Receiver, and then our expert investment fraud solicitors and specialist insolvency practitioners and liquidators start an investigation to recover our client’s funds, either from the company itself or against individuals responsible for the company and therefore accountable for the loss of funds.

In order to directly pursue an individual fraudster under the civil law for the repayment of funds they’ve misappropriated, there must be evidence of some kind of wrongdoing, such as misfeasance, misrepresentation or unjustified enrichment. If the investigative and prosecuting authorities have information on the fraudster, usually because they’ve got a criminal conviction, we work to get access to this data. It’s also important to keep in mind that the civil standard of proof, which only requires to be proved on a balance of probabilities, is lower than the criminal standard of beyond reasonable doubt.

As well as acting for individuals and businesses, we have also acted in class actions (also known as multi-party actions), where the same fraud has been committed against many individuals. This means that an individual unable to recover funds because of the costs and time involved can have recourse by pursuing legal action as part of a group.

We take pride in building case-winning strategies tailored to the needs and budget of our clients, and are expert in tracing and recovering assets in both the UK and overseas. If you require first-class, cost-efficient legal advice on investment fraud, or any other commercial dispute matter, please contact us.

Selachii – Expert Investment Fraud Lawyers

Selachii is a dynamic litigation and dispute resolution firm based in Kensington, London. Our dispute resolution team is highly experienced in investment fraud disputes, and our clients’ best interests are at the heart of everything they do. We represent both businesses and private individuals, providing first-class legal advice and support that is tailored to their individual and unique circumstances. We don’t believe in one-size-fits-all solutions to legal matters. We focus on the particular circumstances of every case, ensuring our work is cost-effective and likely to get the best possible result. Please contact us for more information.