The Serious Fraud Office believe investors may have been the victim of a suspected international fraud and money laundering operation
Author: Adam SmithPublished 3 hours ago
Last updated 3 hours ago
Cleveland Police this week led a series of dawn raids as part of an investigation into the Alpha and Green Park group of companies – which is likely to involve many investors from abroad as well as the UK.
On Wednesday a string of properties were searched and one suspect interviewed, as well as a number of section two notices served to force businesses to provide relevant information.
The Alpha-branded companies are accused of misleading investors into buying leaseholds for student accommodation in Leicestershire, Lancashire, Staffordshire and West Yorkshire, while the Green Park branded firms are suspected of the same scheme but linked to holiday homes in Devon.
It is alleged that Alpha and Green Park branded companies sold investments into leasehold units between 2014 and 2019, promising investors eight to 10 per cent returns on their investment over the first 10 years.
More than 1,500 investors from around 50 different countries invested an estimated £150 million into the leasehold schemes on the back of these guaranteed returns, but all stopped receiving any profits in 2018.
The directors of the companies are claimed to have made around £20 million.
Mick Gallagher, SFO chief investigator said: “Thousands of ordinary people lose…