Southwark Crown Court today ordered almost £2.65 million to be returned to investors who had invested in a fraudulent collective scheme established and operated by Alex Hope. In addition, Mr Hope was made the subject of a Proceeds of Crime Act 2002 (POCA) confiscation order in the sum of £166,696. Mr Hope must pay the order in full within three months or face a further sentence of 20 months’ imprisonment in default, consecutive to the seven year sentence imposed upon him in January 2015 .
Today’s orders follow a confiscation order made against Raj Von Badlo, Alex Hope’s co-defendant, who was ordered to pay £99,819 at a hearing on 18 December 2015. The sum, which represents his benefit from his involvement in the fraudulent scheme, must be paid in full within 3 months or he will face a further sentence of 15 months’ imprisonment in default, consecutive to the two year sentence he received in January last year. In addition, Mr Von Badlo was made the subject of a compliance order that prevents him leaving the UK until his confiscation order is satisfied in full.
Today’s orders were made by Her Honour Judge Taylor who directed that all sums confiscated from Mr Hope and Mr Von Badlo be paid by way of compensation to the investors who were victims of their crimes. In total, investors should therefore expect to receive in excess of £2.9 million, which equates to approximately 55% of the capital sums that are owed to them.
Mark Steward, the FCA’s Director of Enforcement and Market Oversight 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 Mr 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.”
Confiscation orders amounting to £11,093,164 and have been obtained by the FCA and its predecessor, the FSA. As of today’s date, in those cases where time to pay has expired, all bar two have been satisfied in full, which equates to a collection rate of over 96% of the sums due.
Other successful POCA outcomes in the past 12 months include:
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