Australian Jeffrey Revell-Reade, 51, and Anthony May, 60, were found guilty of setting up bogus stockbroking firms in Madrid which used high-pressure sales tactics to flog shares in US-listed companies which they claimed had restrictions on their resale of 12 months.
When the investors came to sell the shares after the expiry of this period, they often found that they were unable to do so as they were worthless, and that the shares were in shell companies or companies that were not operating at all.
Between 2003 and 2007, the scheme pocketed £70m from UK investors.
The pair were convicted of the scam in June 2014, with Revell-Reade, considered the mastermind behind the fraud, receiving a prison sentence of nine-and-a-half years after being extradited from Australia in 2012. Anthony May was sentenced to seven years and four months in prison.
Their convictions were linked to seven other individuals, also serving prison terms, following a seven year investigation by the SFO.
During the hearing at London’s Southwark Crown Court, Revell-Reade was ordered to pay £10.75m while May must pay £250,000 as part of a confiscation order, with the proceeds to be returned to the victims in the case.
Both men were given three months each to pay the orders or face an additional prison sentence in default of payment – 10 years for Revell-Reade and 3 years for May.
Mark Thompson, head of the SFO’s proceeds of crime division, said: “These individuals benefited substantially from their crimes. Their lavish lifestyles featured numerous overseas properties, wine collections and a luxury yacht. We welcome these orders which the pair now need to pay or face a further period of imprisonment.”
