20th September 2013
FSCS has received a number of claims against independent financial advisors that are no longer trading in relation to advice they gave to invest in Arck LLP.
Arck LLP is a UK based investment vehicle that was set up to develop and sell overseas based properties. It was placed into liquidation in 2012, and FSCS is aware that investors in Arck LLP have suffered significant losses. At this time the cause of these losses is unclear.
The Serious Fraud Office (SFO) has confirmed that it is investigating allegations of fraud involving investments made in Arck LLP. Further information about this can be found on the SFO’s website.
We are awaiting the completion of the SFO’s investigations before reaching a view on the liability of the financial advisors against which we have received claims. At this stage we are unable to confirm whether any losses incurred by investors were caused by the advice they received from the financial advisors to invest in Arck LLP.
Once we are able to confirm our position, we will provide a further update on our website, and contact the claimants who have previously submitted claims to FSCS in relation to the fund. We would like to assure investors that we will provide more certainty about our position to claimants as soon as we are able.