Manx Herald Isle of Man

New action group targets IOM fund industry and regulators for criticism

2009-01-10T04:34:00-05:00

A new action group, Premier Shareholders Association (PSA), has commenced a determined lobbying campaign designed to embarrass, among others, the Isle of Man Government and

Colin Hepper

2009-01-14T01:19:06-05:00

In my view the I o M government should pay compensation to the many pensioners in the Premier Low Risk Fund who thought that they were with a trusted financial company who were regulated by the Isle of man

Hazel Bell

2009-01-19T05:25:44-05:00

An interesting report.
We honestly believe that the IOM Government should pay in full all depositors that have lost money with KSF(IOM).
We are 64 years old and have retired this year, we have lost over $550,000 with this bank through no fault of our own.
Our life has changed dramatically since October 7th 2008. We have worried endlessly for the last three months about our future. All we are asking for is what is rightfully ours.
Banking in the IOM is the worst mistake we have ever made.

Nic Rogers

2009-01-19T08:43:51-05:00

The directors of the Isle of Man based Premier Low Risk Fund plc rewarded unlicensed, unqualified entities (who they describe as “professional” financials advisors) to assist in obtaining bank transfers (from pensioners) by circulating Premier’s misleading advertisement which claimed that the Fund offered :- “Capital Growth” and “Capital Security and Guarantees” in a “Low Risk” investment portfolio. A similar investment fund was ruled by the Jersey High Court as “High Risk”.
When the pensioners’ supposedly “secure and guaranteed capital” suffered a serious decline in value, their attempts to rescue their life savings were thwarted by Premier’s directors introducing a previously undisclosed 29% “exit penalty”.

The Isle of Man government claim that the island’s financial services industry is “open, transparent and well regulated”. Try telling that to the hundreds of elderly people, some in their seventies and eighties, who lost a considerable amount of their lifesavings thanks to Premier’s misleading claims/exit penalty all overseen by the Isle of Man government! Who is the government kidding?

Colin Hepper

2009-01-19T08:51:20-05:00

I invested money in the Premier Low Risk Fund in 2002 for the simple reason that the financial adviser in Spain recommended them because they were a 'LOW RISK Investment' apart from the first 9 months when there were reasonable returns there has been no return on the investment at all. We are told that the fund value is over £100 million and that 13% of the policies are due to mature this year. What is going to happen to this £1 million plus when it is received into the fund. I would appreciate it if your paper would ask the Directors of the fund about this.

Lis Rogers

2009-01-19T12:43:55-05:00

My husband has posted a somewhat restrained report on the activities of the directors of the Isle of Man based Premier Low Risk Fund plc. The fact of the matter is that Premier obtained and retained bank transfers by deception – both criminal offences.

Premier can do this because they know that the Isle of Man regulatory authorities will not lift a finger to prevent them – protecting the Island’s major industry is preferred to upholding the legal rights of elderly investors.

A triumph of politics over justice – never mind that in the process pensioner’s lives are ruined.

Premier Shareholders Asssociation - PSA

2009-01-19T13:57:57-05:00

Regarding Colin Hepper’s comments: The “financial advisors” appointed by Premier’s directors to receive performance related “introducers’ fees” (via secretive Caribbean shell companies) for assisting in circulating Premier’s advertising brochures to pensioners living in Spain were not financial advisors – they were unlicensed, unregulated, unqualified, unregistered impostors.

Premier claim that they are “professional” financial advisors. This is a false claim.

The claim “Low Risk” was first placed in the public domain by Premier’s directors. A Jersey High Court has ruled an investment fund similar to Premier’s is “High Risk”.
The directors were also the first to claim that pensioner’s “Capital” would be “Secure and Guaranteed” – claims later repeated by Premier’s “introducers” who have since admitted that they did not understand the fund. Blame Premier, not the “introducers”.

Nobody was aware of the 30% exit charge which the directors have levied for over six years simply because Premier never disclosed it. The proceeds of these charges are described by the directors as “redemption penalty income” and they have raised over £5 million in the last two years alone. They are illegal.

Some of the £1 million referred to by Colin will go towards, paying Premier’ “introducer’s fees” via the Caribbean. Since 2002 the directors have transferred approx. £6 million to these secretive companies and account for the money as “introducer’s fees” – yet the fund has been closed for over two years and no longer requires any “introducing”.

Nobody, apart from the directors, really knows where this money is going. Meanwhile hundreds of elderly pensioner’s continue to suffer the trauma of losing up to half of their “capital”.

So much for a “low risk, secure and guaranteed” Isle of Man based investment fund!

John Blainey

2009-01-20T03:03:00-05:00

As a person who subscribes mainly to the libertarian point of view I believe very much in the freedom and responsibility of the individual and am against over much regulation which I regard as counter productive, especially in the long term.
However I am against theft and abusing the elderly or ill-informed out of their life savings by professionals who should have a duty of care, much like a doctor or lawyer.
Besides being against excessive regulation I am also against the legal structures that enable crooks to avoid personal responsibility by hiding behind limited liability and other such devices. Scrap the lot and let people be brought to book for the theft and misery they cause by relieving others of their assets would be my suggestion.
As a member of the Costa Del Sol Action Group I would invite you to see some of the people who have been reduced to misery and despair while their "financial advisers" who brought them to this situation laugh all the way to the bank all the while checking they have not carelessly left some wealth behind.

Suzy

2009-01-20T06:46:17-05:00

Congratulations to PSA.
The Premier Low Risk Fund PLC - is not a low risk fund!
This is an 'experienced investor' fund, which the managers have seemingly allowed slick, unqualified, unregistered, commission driven salespeople to 'peddle' to pensioners and vulnerable people, as a suitable low risk investment for their life savings!
Shame on them all.

jean leftwick

2009-01-20T08:20:43-05:00

The proof, if any were needed, that so many elderly victims have been grossly misled, lies in the fact that had they known that their money would be lost so rapidly, they would not have invested. It is abundantly clear that financial products have been mis sold, the only conclusion possible being the government regulators failed to intervene.Regulation seems to be regarded as something to work around not work to.As a victim of a similar scam my conclusion is these villains knew what they were doing.If they did not realise their actions would prove so disastrous to their clients they should not be in the business.These products were targeted at elderly people by age specific conditions,who were conned by suave and slimy liars.
A total failure of government regulation.

John Blainey

2009-01-20T10:39:29-05:00

I believe very much in the freedom and responsibility of the individual and am against over much regulation which I regard as counter productive, especially in the long term.
However I am against theft and abusing the elderly or ill-informed out of their life savings by professionals who should have a duty of care, much like a doctor or lawyer. It has become my perception that a trustworthy financial adviser is almost a contradiction in terms and that the whole industry is in severe disrepute as a result of schemes which have destroyed the wealth of investors. Promoters can say nothing illegal was done, which I think can often be challenged, but whatever, it is certain the well being of the mainly OAP investors was not a significant concern in many of these operations.
Besides being against excessive regulation I am also against the legal structures that enable crooks to avoid personal responsibility by hiding behind limited liability and other such devices. Scrap the lot and let people be brought to book for the theft, mis-selling and the misery they cause in relieving others of their assets, would be my suggestion.
As a member of the Costa Del Sol Action Group I have personally seen the despair and destroyed dreams of those who have lost their life savings to smooth talking financial salesmen while these salesmen, or financial advisers as they like to be called, who brought them to this situation, laugh all the way to the bank. All the while checking they have not carelessly left some wealth untapped behind.