View more on these topics

Director banned over £666k African stove investment

Money-Cash-20-Note-Currency-UK-700x450.jpg

A company director that convinced investors to contribute funds to an African stove investment scheme has been disqualified for 14 years.

According to the Insolvency Service, Mark Ayres acted as a director of Global Eco Projects in breach of an earlier director disqualification.

Under his watch the company breached financial regulations by taking investor money and then failing to protect it.

Two other directors, John Childs and Mark Cooney, were disqualified for seven years each. The disqualifications stop the men from promoting, forming or managing a company.

As part of the scheme the company asked investors to pay £666,000 for a project to help half a million families in Africa live a healthier life by giving them new cooking stoves.

The company said the free distribution of stoves would make money by obtaining “gold standard” carbon credits.

It told investors a 30 per cent interest payment of the loan would be paid 24 months and six weeks from the agreement date and daily interest would accrue at 12 per cent per year with full loan capital repaid after seven years.

The company did not put the funds in a separate account as it told investors.

Before 31 July 2013, only £32,395 was paid to the company for stoves and only 1,449 stoves were bought.

On that same date there was only £101,087 cash remaining.

Meanwhile, investment introducers charged £324,200 and, despite the company receiving £275,586 attributed to Ayres, repayments of these monies to 30 July 2013 left a balance due by Ayres of £7,886.

Insolvency Service chief investigator Mark Bruce says: “[Investors] monies were principally spent on a combination of marketing fees for sales agents and repayments of monies owed to Mr Ayres. Indeed, the entire scheme was illegal from commencement, as the marketing of debentures is a regulated investment and GEP failed to sign off its marketing material from a properly regulated person.”

Recommended

FCA interior logo 620x430
6

Treasury committee calls for break-up of ‘overloaded’ FCA

MPs in the influential Treasury committee are calling for the FCA to separate out its enforcement division following a damning report in the collapse of HBOS. In a report published yesterday, the committee said an “independent enforcement function” should sit between the FCA and PRA. It says the current system – where one body supervises, […]

Charles Counsell 700 x 450
2

TPR slashes auto-enrol estimate by up to 480,000 firms

The numbers of firms who will have to comply with automatic enrolment regulations has been slashed by up to 480,000 firms. New figures from the Pensions Regulator shows it expects between 1.32 million and 1.46 million employers will have duties under auto-enrolment rules. At the same time last year, TPR estimated 1.8 million firms would […]

How do you choose the best online service?

By Ross Jackson, senior marketing manager There are many different protection online services available in the market and no doubt you’ll have used a few when submitting protection business. But why should you have to put up with slow, unresponsive sites for your business when you’re used to dealing with slick, modern user experiences in your […]

Health - thumbnail

Healthcare predictions for 2015 from Jelf Employee Benefits

The continuing fall-out from the Competition and Markets Authority’s (CMA’s) review, the rise of the private GP and digital engagement will be the primary focuses in the private healthcare industry during 2015, according to Iain Laws, managing director, healthcare and group risk, at Jelf Employee Benefits.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There are 2 comments at the moment, we would love to hear your opinion too.

  1. Time to roll out the ostrich farms again if people are this gullible!

  2. Knowingly rip off the public yet no one serves any time…this is wrong on many levels and what’s with the 666, guilt or bad humour?

Leave a comment