Daily Archives: September 3, 2013

UK Financial Conduct Authority cautions investors on new Harlequin rescue plans

Harlequin Resort

“We urge financial advisers considering recommending consumers paying monies or further monies over to any of the companies in the Harlequin group at this time to proceed with caution.

You should ensure that consumers fully understand the risks involved with the investment. You should also advise consumers to obtain legal advice from lawyers in the country where the property is located before proceeding with any investment in a company in the Harlequin group.”

… UK Financial Conduct Authority

The last five or six months have seen a lot of talk of plans and schemes to rescue the investments of the poor folks who believed everything that Dave Ames said about Harlequin’s business plans. Nevermind that even the most mathematically challenged should have been able to see that Harlequin’s ability to continue to build relied upon finding new suckers, ah, ‘investors’ willing to suspend their disbelief as if they were watching a child’s cartoon on Saturday morning.

Harlequin was first and only a Ponzi scheme where payback to earlier investors was only possible with money from new investors. I’m not sure of the current situation but I think it is something like only 300 units built out of 6000 sold, and no money left to build the missing units.

Or so I think. No doubt one of our readers can provide the current stats.

The UK Financial Conduct Authority remains concerned about plans by various Harlequin entities to ‘save’ investors’ monies… with only a small additional investment. Ha!

Have a read of the notice and then… class, discuss!

Update to information on investments made through Harlequin Management Services (South East) Limited (“Harlequin Property”)

The Financial Services Authority (FSA) issued an alert to financial advisers on 18 January 2013 regarding this subject. Since 1 April, the Financial Conduct Authority is one of the UK’s two new financial regulators, which has replaced the FSA.

The alert sets out our expectations where financial advisers recommend overseas properties purchased through Harlequin Property. It also sets out what advisers need to do before recommending an overseas property investment through Harlequin Property.

The full text of the alert can be found here. The FCA’s Harlequin page can be found here.

Since this date, important developments have taken place as follows: Continue reading

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Filed under Barbados, Business & Banking, Consumer Issues, Corruption