The Financial Conduct Authority (FCA) is currently involved in contacting advisers who told clients to invest in the Dolphin Trust Investment scheme (GPG) which is currently in liquidation holding millions of UK pension money and cash investments.
The regulator has urged investors in the property scheme now known as the German Property Group to contact their financial advisor to complain about their funds being potentially at risk
Unregulated German Property Group changed its name in April 2019 from the Dolphin Trust, collapsed earlier this year informing investors plans to restructure as an alternative to filing for bankruptcy, but in October the company entered preliminary bankruptcy proceedings in Germany.
Investor losses could reach millions in the UK following a BBC investigation in 2019 illustrating how the property group borrowed up to £600 million from the like of pension investors.
In partnership with the Financial Ombudsman Service and Financial Services Compensation Scheme, the City watchdog has urged investors to consider bringing a claim against their financial adviser or SIPP operator they believe the investment in German Property Group was mis-sold.
The FCA since have advised some companies that advised on Sipp and Ssas investments into the scheme were no longer trading, suggesting a number of claims will be heading towards the industry-funded FSCS.
German administrator Georg had written to investors warning of the ‘total mess’ it had in the business’s records. They have estimated between 150 and 200 companies in the group and as German insolvency law requires each to be dealt with separately, the process of investigation will be lengthy.
If you have been affected by financial advice that was associated with Dolphin Trust (German Property Group Investments) and have transferred your pension into a SIPP or SSAS or alternatively invested cash we may be able to help so please give us a call on 01903 868251.
Information in the article was sourced from