The High Court has put the unauthorised investment firm Asset Backed Management Limited into provisional liquidation following an application from the government.
An update from the Insolvency Service says this was done on 12 April 2019 following an application it issued on behalf of the secretary of state for business, energy and industrial strategy.
The company has been selling asset investment opportunities to members of the public, including corporate bonds and alternative bonds, and was given 13 days notice of the hearing in the High Court in London but failed to attend.
The update from the Insolvency Service says the company promoted its business through the website www.assetbackedmanagement.com and would contact prospective customers through cold calling.
It points out both activities were in breach of financial regulations put in place to protect the public.
The update adds Asset Backed Management Limited is not, and has never been, regulated by the FCA. Additionally, it hasn’t employed an FCA-authorised person or had its marketing materials approved by an FCA-authorised person.
It explains the Official Receiver has been appointed the provisional liquidator and has responsibilities to protect assets in the possession or under the control of the company pending the determination of the petition.
The provisional liquidator also has the power to investigate the affairs of the company insofar as it is necessary to protect assets including any third party or trust money or assets in the possession of or under the control of the company.
The case is now subject to High Court action and no further information is available until the petition to wind up the company is heard in the High Court in London on 7 May 2019.