12th February 2016
Investors duped by jailed frauster Alex Hope will see £2.9 million returned to them.
Southwark Crown Court ordered the money be returned to investors who had invested in a fraudulent collective scheme established and operated by Hope.
Hope persuaded 100 investors to put £5.5 million into a bogus scheme that he said would trade in the foreign exchange markets, but instead he used the money to fund his own lavish lifestyle.
The court also made Hope the subject of a Proceeds of Crime Act 2002 confiscation order for the sum of £166,696. He must pay the order within three months or face a further 20 months jail time, consecutive to the seven years imposed on him in January 2015.
A confiscation order was also made against Raj Von Badlo, Hope’s co-defendant, who was ordered to pay £99,819 at a hearing in December. The sum, which represents the benefit from his involvement in the scheme, must be paid in three months or he faces 15 months in jail to run consecutively to the two year sentences he received in January last year.
Von Badlo has been prevented from leaving the country until his confiscation order is satisfied.
The orders were set out by Judge Taylor who said the sums confiscated would be paid to investors who were victims of their crimes.
In total investors should expect to receive over £2.9 million, around 55% of the sums owed to them.
Mark Steward, director of enforcement at the Financial Conduct Authority (FCA), said: ‘This is the largest sum returned to victims of crime following an FSA/FCA prosecution and is the result of quick action in the first instance to restrain the proceeds of Hope’s offending.
‘The FCA will continue to work hard to ensure wrongdoers are held to account not only for their wrongdoing but also for its consequences, especially to victims, to the fullest extent possible.’