London Capital Finance/Global Security Trustees (GST) - Where is their Money Coming From?
The collapse of London Capital and Finance is continuing to give more unexpected twists and turns with a court case being pursued by the administrators against the current trustees called GST supposedly responsible for ensuring that LCF investors' interests were protected.
https://damn-lies-and-statistics.blogspot.com/2019/01/lcf-global-security-trustees-capital.html
Despite the grand sounding name, Global Security Trustees was a company in name only and was solely responsible as trustee for LCF investors. It had no other role and no money. If you check the accounts for GST then you find that it was not trading and only had nominal capital of £100. You may want to check previous articles about GST which highlighted their unusual ownership which was transferred to a company in Malta early in 2019. The directors/shareholders were also linked to the solicitors that facilitated many of the LCF deals so may be seen as being linked too closely to LCF.
https://damn-lies-and-statistics.blogspot.com/2019/01/lcf-global-security-trustees-changes.html
GST is now defending court action by the administrators of London Capital and Finance which raises the question - how is it paying for this action and who is funding it? GST has no funds or assets itself so has no resources to pay anyone let alone legal fees and barristers for High Court action.
The full judgement from the High Court action can be read here
If GST has no money to pay this, where is the money coming from? Are the former directors of LCF paying GST to try to disrupt the process of administration and delay the repayment of investors? Who ever is funding the GST action the net effect is to delay the payment of an interim dividend of 5% back to London Capital & Finance investors which was due before Christmas 2019 but is now not due until 2020.
While researching for this blog post I also noticed a new website had been registered with the domain name liarsc***sandfraudsters that could well be linked to the directors of LCF or their associates as all it seems to be doing is trying to discredit the current administrators Smith & Williamson and promoting GST Trustees as being a responsible outfit.
If it's not someone linked to LCF or GST that is producing the website then it would appear to be a very naive bondholder who doesn't understand the process at all and who doesn't realise what has happened to their money. In fact the narrative on the site of denial of problems seems very similar to that from many bondholders in the early part of 2019 when they seemed to believe every line from London Capital and Finance and denied any of the facts that were being uncovered about the apparent fraud that had been carried out by investing their money in ways other than the prospectus had claimed.
The reports from the court case also claimed that 4 people connected to London Capital & Finance received £20 million directly or indirectly in the six months before it collapsed with Simon Hume Kendall and Spencer Golding receiving £8.3 million each and the others £1.5m each.
https://www.moneymarketing.co.uk/news/four-men-linked-to-lcf-got-20m-of-investors-money/
https://damn-lies-and-statistics.blogspot.com/2019/01/lcf-global-security-trustees-capital.html
Despite the grand sounding name, Global Security Trustees was a company in name only and was solely responsible as trustee for LCF investors. It had no other role and no money. If you check the accounts for GST then you find that it was not trading and only had nominal capital of £100. You may want to check previous articles about GST which highlighted their unusual ownership which was transferred to a company in Malta early in 2019. The directors/shareholders were also linked to the solicitors that facilitated many of the LCF deals so may be seen as being linked too closely to LCF.
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| London Capital Finance/Global Security Trustees (GST) - Where is their Money Coming From? |
GST is now defending court action by the administrators of London Capital and Finance which raises the question - how is it paying for this action and who is funding it? GST has no funds or assets itself so has no resources to pay anyone let alone legal fees and barristers for High Court action.
The full judgement from the High Court action can be read here
If GST has no money to pay this, where is the money coming from? Are the former directors of LCF paying GST to try to disrupt the process of administration and delay the repayment of investors? Who ever is funding the GST action the net effect is to delay the payment of an interim dividend of 5% back to London Capital & Finance investors which was due before Christmas 2019 but is now not due until 2020.
If it's not someone linked to LCF or GST that is producing the website then it would appear to be a very naive bondholder who doesn't understand the process at all and who doesn't realise what has happened to their money. In fact the narrative on the site of denial of problems seems very similar to that from many bondholders in the early part of 2019 when they seemed to believe every line from London Capital and Finance and denied any of the facts that were being uncovered about the apparent fraud that had been carried out by investing their money in ways other than the prospectus had claimed.
The reports from the court case also claimed that 4 people connected to London Capital & Finance received £20 million directly or indirectly in the six months before it collapsed with Simon Hume Kendall and Spencer Golding receiving £8.3 million each and the others £1.5m each.
https://www.moneymarketing.co.uk/news/four-men-linked-to-lcf-got-20m-of-investors-money/
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