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Six companies that mis-sold green belt land for investment to the public have been wound-up in the High Court on public interest grounds following an investigation by Company Investigations (“CI”) of the Insolvency Service

The investigation found that Stowford Place Investments Ltd, ASA Global Investments Limited, Prinston Estates Limited, Alpha Capital Investments (London) Limited, Greenacre Global Partners Limited and Vinci Trading Ltd had all seriously misled the public as to the development prospects of the plots of land they offered for investment and had operated with a lack of commercial probity.

The companies are linked to earlier land banking companies wound-up on grounds of public interest (see note 10 below) and between them raised nearly £1 million from the public before being closed down on 26 May 2011 by the Service’s actions (see note 8 below).

Welcoming the Court’s winding up judgment Company Investigations Supervisor Chris Mayhew said:

“This sends a clear message to unscrupulous directors; their business will be investigated and where necessary brought before the Courts.

We work closely with other regulatory agencies such as the Financial Services Authority and the City of London Police to put a stop to unscrupulous companies that peddle their near worthless schemes to the public using high pressure sales tactics, often to the elderly or vulnerable.

The public should not fall for a slick sales pitch, glossy marketing brochure, fancy websites and promises of easy money - not one of the land banking companies that the Service has investigated and wound up has made a profit for the investor”.

Ends

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Notes to Editors

1. Stowford Place Investments Ltd was incorporated as a private company on 14 January 2009. The registered office of the company was at 165-167 The Broadway, Wimbledon, London, SW19 1NE. The recorded directors of the company are Mr Steven David Lawrence Tagg (from 14 January 2009) and Mr Oliver Wilson (from 14 January 2009 to 5 March 2010). The company has no secretary. The company marketed plots on a site at Keston, Bromley. Some 18 plots were sold for a total of £147,060 representing a mark up of some 1,125 per cent over the £18,000 that the company paid for the site. 2. ASA Global Investments Limited was incorporated as a private company on 25 March 2009. The registered office of the company was at Suite 109-111 Davina House, 137-149 Goswell Road, London, EC1V 7ET. The sole recorded director of the company is Mr Andrew Leonard William Foy (from 25 March 2009). The company has no secretary. The company marketed plots of land at similar mark ups on 3 sites at Halifax, Keston and Theydon Bois. Some 10 plots were sold at Halifax raising £104,000, 10 plots at Keston raising some £127,000 and 6 plots at Theydon Bois raising £25,700. It also marketed farm land in Western Australia. 3. Prinston Estates Limited was incorporated as a private company on 24 October 2008. The registered office of the company was at 1 Ropemaker Street, London, EC2Y 9HT. The sole recorded director of the company is Mr Ravinder Singh Momi (from 24 October 2008). The company secretary is Ms Louise Gibson (from 24 October 2008). The company marketed plots on 3 sites at Halifax, Keston (owned by Mrs Safia Eshpari and Mr Stefan Mitchell) and Folkestone (owned by Mrs Safia Eshpari) selling 33 plots in all for a total of £414,600 representing a mark up of 1,296 per cent, 2,250 per cent and 3,372 per cent respectively. 4. Alpha Capital Investments (London) Limited was incorporated as a private company on 26 August 2009. The registered office of the company was at City Point, 1 Ropemaker Street, Moorgate, London, EC2Y 9HT. The recorded directors of the company are Mr Yolynn Chetty (from 26 August 2009 to 8 February 2009) and Miss Manjit Kaur Minhas (from 2 March 2010 to 3 June 2010). The company secretary is Mr Chetty (from 26 August 2009). The company marketed plots at the Keston site selling 20 plots in all for £208,000, a mark up of 1,900 per cent. 5. Greenacre Global Partners Limited was incorporated as a private company on 25 August 2009. The registered office of the company was at Flat 3, Bloomsbury Court, Tupwood Lane, Caterham, Surrey, CR3 6DA. The recorded directors of the company are Ms Zoe Francis (from 12 January 2010) and Mr Kane Nathaniel Pushong (from 25 August 2009 to 12 January 2010). The company secretary is Mr Pushong (from 25 August 2009). It seems the company was abandoned before achieving any sales. 6. Vinci Trading Ltd (formerly Vinci Partners Limited) was incorporated as a private company on 9 November 2009. The registered office of the company was at 11 George Street West, Luton, LU1 2BJ. The recorded directors of the company are Mr Hider Eshpari (from 14 April 2010) and Mr Omar Eshpari (from 9 November 2009 to 15 April 2010). The company has no secretary. The company marketed plots at the same sites in Keston and Folkestone. It also marketed plots at sites in Brentwood and Grantham which sites are owned by Mrs Safia Eshpari. 7. The petitions to wind up the companies were presented on 19 May 2011 under the provisions of section 124A of the Insolvency Act 1986. The petitions were presented following confidential enquiries carried out by Company Investigations, part of the Insolvency Service, under section 447 of the Companies Act 1985, as amended. 8. On the application of the Secretary of State the Official Receiver was appointed as provisional liquidator of the companies on 26 May 2011. 9. In ordering the companies into liquidation Ms Registrar Barber said: “These companies were all involved in a land banking business that misled prospective investors in a marked respect. There are links with Global Land Group Ltd that entered into voluntary liquidation on 20 January 2010 shortly after the Secretary of State started an investigation into its affairs and also with a group of companies referred to as the Pemberton companies that were wound up on grounds of public interest on 31 March 2010, a provisional liquidator having earlier been appointed over their affairs. The circumstances surrounding the Pemberton provisional liquidation bears some comment by way of backdrop to the present matter. The proceedings were opposed and undertakings were given to the Court to effectively cease trading. The undertakings were not complied with as a consequence of which the Secretary of State successfully renewed his application to the Court for the appointment of a provisional liquidator. The individuals behind the Pemberton companies simply shifted their energies to the companies subject to the petitions before me having carried on a land banking business in much the same way as before. They effectively jumped ship after giving undertakings to the Court to cease trading. I have been taken in detail to the clear evidence in support of each petition and the serious mis-statements to investors who were clearly misled. The allegations are well and truly made out and in the light of the grounds established against each of the 6 companies it is entirely appropriate that they be wound up on grounds of public interest and I do so order.” 10. The Pemberton International Limited group of companies were earlier wound up on grounds of public interest on 31 March 2010 – see news release “High Court orders five land banking companies into liquidation” issued on 2 April 2010. [Four individuals have since been charged with conspiracy to defraud for their involvement with these companies, Mr Omar Eshpari, Mr Dean Straker, Mr Stephan Mitchell and Mr Derail White – see City of London Police news release “First UK criminal charges for land banking fraud” issued on 17 June 2011] 11. Company Investigations, part of the Insolvency Service, carries out confidential enquiries on behalf of the Secretary of State for Business, Innovation & Skills (“BIS”). 12. The Insolvency Service administers the insolvency regime, investigating all compulsory liquidations and individual insolvencies (bankruptcies) through the Official Receiver to establish why they became insolvent. The Service also authorises and regulates the insolvency profession; deals with disqualification of directors in corporate failures; assesses and pays statutory entitlement to redundancy payments when an employer cannot or will not pay employees; provides banking and investment services for bankruptcy and liquidation estate funds; and advises ministers and other government departments on insolvency law and practice. Further information about the work of The Insolvency Service is available from: http://www.insolvency.gov.uk 13. All public enquiries concerning the affairs of the company should be made to: The Official Receiver, Public Interest Unit, Tel No: 020 7637 1110 Email: piu.or@insolvency.gsi.gov.uk 14. Media Enquiries should be directed to: Ade Daramy, Press Officer on 020 7596 6187

Contacts:

Ade Daramy
Phone: 020 7596 6187
ade.daramy@insolvency.gsi.gov.uk