The United Kingdom’s Financial Behavior Authority (FCA) announced today that it would not take further action against Wellsley & Co Limited (WCL) after its research did not find that there was no evidence of serious ill -mannered management.
The Regulatory Authority announced the WCL survey in 2022 after the Wellesley Finance Ltd (WFL), an unjust entity, which enters a voluntary company regulation (CVA) with its creditors in October 2020.
At the time of the WFL CVA, about 12,000 investors owe £ 134.7 million. About £ 80 million have been returned to investors, but unfortunately some investors have lost everything invested.
The focus of the investigation was whether investors had been deceived and deceived by WCL. He found that the risks were quite described in investors and there were no evidence of fraud.
WCL has promoted and order high -risk investments associated with real estate development. These products were not covered by the Financial Services Compensation Plan (FSC).
WCL was responsible for approving the financial promotions used to marke some investors. There were other non -adjustable companies in the Wellsley Group.
The amounts that have returned to investors under the CVA vary depending on the products held. While about 60% of the money invested have been refunded, investors who have received preference shares within the CVA lost all the money they invested. This represents about £ 10m from the total money owed to investors.
On April 30, 2025, WCL entered the administration.
The FCA has launched a survey on WCL, the only authorized entity in the Wellsley Group, after arising concerns through the supervision of the business FCA.
The FCA analysis examined marketing materials, risk warnings and statements to check whether the investments were described in a clear, fair and unpaid manner. The Authority also examined reports on the financial position of the Wellesley Group and other non -adjustable Wellesley companies.
The survey found that investors clearly warned that they could lose their money if they choose to invest and that the products had no FSCs. WCL also warned investors about the risk of insolvency in terms of Wellesley and underlying borrowers.
The survey also examined over 30,000 banking and financial statements by Wellsley Group Investors Limited (WGIL) between January 2017 to April 2021.