The City of London Police has dropped its investigation into former St James’s Place adviser Peter Carron, who was accused of misappropriating £4m worth of clients’ investments into his own businesses.
In September, the FSA said Carron defrauded St James’s Place customers by advising them to invest in his own firms, Comment Technologies, Evaluate Technologies and Primrose Associates, via a “special project account”.
All three businesses have since gone into liquidation.
On July 15, 2010, police arrested and bailed a 41-year-old man on suspicion of fraud by false representation and abusing a position of trust in relation to the collapse of Primrose Associates.
Last week, City of London Police said: “A 41-year-old man was arrested on July 15, 2010 on suspicion of fraud offences. He has been released from police bail. After reviewing the case, the Crown Prosecution Service decided there was insufficient evidence for a realistic prospect of a conviction. City of London Police will take no further action.”
In August, St James’s Place offered a £1.8m compensation package to affected investors.
St James’s Place declined to comment.