LMIM investor group exploring UK legal options

Added 5th July 2016

An investors group for victims of the LM Investment Management collapse is looking at the feasibility of bringing legal action in England & Wales, as well as other jurisdictions.

LMIM investor group exploring UK legal options

The LM Investor Victim Centre (LMIVC) is fighting to improve recovery for investors of the Australia-based A$400m (£226.1m, $300.4m) LMIM Managed Performance Fund (MPF).

According to the action group’s website, after collapsing in 2013, LMIM owes 12,000 investors around the world a total of A$750m.

Strategic partnerships

LMIVC is working with Greg Fairley of Capital Interchange and London Law firm Harcus Sinclair to examine opportunities to bring actions in England & Wales, as well as other jurisdictions.

The group is currently undertaking a data collection exercise of MPF investors to determine the feasibility of recovery actions.

LMIVC claims to have over 770 registrants and represents over A$68m of investors lost funds.

Data gathering

The exercise will initially focus on collecting data from investors who meet one or more of the following criteria:

  • Were based in the UK at the time of investing in the LM MPF;
  • Invested in the LM MPF following advice from a UK adviser/intermediary whether they were based in the UK at the time or not;
  • Invested following advice from a non-UK adviser/intermediary;
  • Invested following a presentation or advice from LM UK or an LM company in any other country;
  • Invested following a recommendation/suitability report from a pension fund trustee;
  • Invested following a recommendation/suitability report from an insurance wrapper;
  • Anyone who has made a complaint to a financial regulator in any country;
  • Anyone who undertook their own due diligence via any of the LM companies prior to investing in the LM MPF.

Time of the essence

The founding member of LMIVC believe that time is of the essence and MPF investors must respond quickly by completing the questionnaire to minimise the effects of any statute limitations in England and Wales and other jurisdictions.

The questionnaire can be found by clicking here.

Not the only one

LMIVC is one of a number of victim support/action groups that sprung up in the wake of the LMIM collapse.

Representatives of the action group LM Thailand Investor Group (LMTIG) persuaded the Australian ambassador to Thailand to represent their case to the Australian government in July 2015.

In September 2015, a group of Thailand-based IFAs involved in marketing MIM’s range of nine funds, the Adviser Committee of Investors (ACI), strongly criticised the rising bills from insolvency practitioners and the slow pace of Australian regulators in dealing with the case.

In October, LMTIG secured support from the British Embassy in Thailand, who had previously said the UK was unable to intervene because LM was based in Australia.

Visitor's Comments Add your comment

Add Your Comment

We won't publish your address

About Author

Kirsten Hastings

Senior Reporter

Kirsten is a senior reporter for International Adviser, covering global news stories about the financial services industry. She joined Last Word Media in October 2015 after two years working as a reporter covering the staffing and recruitment industry. Kirsten has a Masters in Financial Journalism from the University of Stirling. 

Features

Why you should care about the German elections

Why you should care about the German elections...

You may be forgiven for not staying up late this Sunday to watch the final results of Germany’s parliamentary elections come in. While chancellor Merkel is sure to win, the scale of her victory is likely...

Analysis

Profiles

Directories

Canada Life International Limited
Canada Life International...

Canada Life International Canada Life House,...

Tweets

Events

IA International Portfolio Bond Forum Glasgow 2017
IA International Portfolio Bond Forum Glasgow 2017

Thursday 16 November
The Grand Central Hotel, Glasgow

IA Future Advisory Forum Dubai 2017
IA Future Advisory Forum Dubai 2017

Wednesday 22 November
The Shangri-la Hotel, Dubai

IA Best Practice Adviser Awards Middle East 2017
IA Best Practice Adviser Awards Middle East 2017

Wednesday 22 November
The Shangri-La Hotel, Dubai

Sponsored Content

Investment Strategy

OTHER STORIES FROM LAST WORD...