SFO Arrests But Not Careless According to Surge Reports
The SFO announced that they had arrested 4 people in connection with the collapse of London Capital & Finance. These people are reported to include the CEO of LCF Andy Thomson and former CEO Simon Hume Kendall who is currently CEO of LCF's biggest borrower London Oil and Gas that has £122 million of loans outstanding to LCF.
It's interesting that one name missing from the list of those arrested was Paul Careless, CEO of Surge Financial that was given 25% of bondholder's money by LCF as commission and for running their account administration services which amounted to £60 million.
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| Andy Thomson, CEO of LCF |
It's interesting that one name missing from the list of those arrested was Paul Careless, CEO of Surge Financial that was given 25% of bondholder's money by LCF as commission and for running their account administration services which amounted to £60 million.
Notably the spokesman for Surge Financial stated to the Evening Standard that "no-one from Surge had any contact with the police whatsoever". This seems a very adamant denial from Surge which brings to mind the from Shakespeare quote "thou doth protest too much".
Is there another reason why Paul Careless and Surge are so keen to deny any contact by the Serious Fraud Office or any other police when the links to him appear similarly close as others arrested? It would be an obvious line of enquiry to ask what he knows about the setup when his company sold the bonds to investors.
Paul Careless began his career with Kent Police before leaving the force after 3 years. He maintained contact with them and in 2017 arranged £3000 sponsorship of Kent Police Rugby team. We understand he still has friends working in various police units.
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| Paul Careless aka Captain Careless on Social media |
So this begs the question, is the reason that he hasn't been arrested because as an ex-copper he is already helping the Serious Fraud Office with their enquiries on the inside by informing them of what he knows? We understand that his police background and existing contacts within Kent police mean that he is well aware of the benefits that could come with someone co-operating with their investigation early on if he has information of use.
As an ex-copper he would probably be very aware of the issues anyone in prison that was previously in the job could face so might have more incentive than others to co-operate with the SFO.
As an ex-copper he would probably be very aware of the issues anyone in prison that was previously in the job could face so might have more incentive than others to co-operate with the SFO.
If this is the case it would give the Serious Fraud Office a massive help in identifying where the LCF Bondholder money has gone. Tracing the assets that have been purchased and sold to dispose of the proceeds which apparently includes horses sold in Italy, Spain and Ireland as well as various cars, helicopters and expensive Patek Philippe watches will be easier if someone with knowledge is able to assist.
You can see more of the assets that apparently have been bought using LCF money here
If Mr careless gets away with this it is a crime to all the investors and the law is just as guilty if this happens. It is clear, he knew what he was marketing is a con and taking 25 percent of investors money, how on earth lcf was going to give a return?! He is part of this group!
ReplyDeleteI'm all for people getting their just desserts here. But... you can't punish people who haven't broken the law. Out of all of the bad actors (the marketing, the bond issuer, the borrowers and the "business consultant"), some people acted further outside the law than others.
ReplyDeleteIf we go after the wrong people, it's just noise that detracts for the real wrongdoers in this dog and pony show (no pun intended)
Not his first con either....
ReplyDelete