They were declared in default by the FSCS in January 2020 following 99 complaints made to the Financial Ombudsman Service.
The FSCS usually declares a company in default when they are satisfied there is a valid claim and that the company is unable to return money to eligible customers.
Many of these complaints involved pension transfer advice given to clients to move their pensions into SIPPs.
Unfortunately, these SIPPs held high -risk investments which are not usually recommended for the average SIPP investor.
One investment was German Property Group previously called Dolphin Capital / Dolphin Trust.
This investment to develop unlisted buildings in Germany promised high returns but caused significant losses to UK pension investors. GPG/Dolphin is currently undergoing bankruptcy proceedings in Germany.
Other high-risk, unregulated investments include Best International – Lateral Eco Park, Colonial Capital Bonds as well as DFM Beaufort Securities.
