An advice firm which set up and ran a Ucis fund has been declared in default by the Financial Services Compensation Scheme.
Quintillion Asset Management, a discretionary adviser firm from Carlisle, had its permissions cancelled by the FSA in July 2012 for unpaid regulatory fees and went into liquidation a month later.
Money Marketing revealed last year that investors had set up an action group in a bid to find out more information about the fund they invested their money in.
Alongside their roles at Quintillion AM, senior management of the firm also set up a Ucis fund in 2009, called the Kratos fund, to invest in intellectual property rights. It targeted annual returns of 35 per cent and is thought to have amassed up to £2.5m of assets.
The firm has now been declared in default by the FSCS.
It is one of 13 investment and life and pensions firms in an announcement today which the FSCS has ruled cannot meet the claims against them.
The FSCS listed a total of 19 companies declared in default, including mortgage brokers and general insurers.
The following 13 firms, classified as life and pension or investments businesses by the FSCS, have been declared in default:
- Earl Elwood & Co
- Quintillion Asset Management
- Sigma 360 Wealth Management
- The Arden Court Group
- Morgans Insurance Broking
- Aston Court Chambers Wealth Management
- Specialist Solutions
- Cairns Horne & Company
- Adrian Cox Asset Management
- Estate Asset Management
- B.K. Thomas and Partners
- Greene Financial Practice
- Opus Accountancy Services
The FSCS says it has already started paying compensation in respect of the defaulted firms.