FSCS issues cheques for £105 million to LCF bondholders
The UK Financial Services Compensation Scheme (FSCS) today provided an update on the London Capital & Finance (LCF) matter.
Since its last update in December, FSCS has contacted more than 700 additional bondholders with details of their compensation under the government scheme. This means that FSCS has now written to just under 8,500 people in total, issuing cheques for over 11,500 bonds totalling £105 million.
The body still has around 700 bondholders to contact, and it is working hard to get this done as soon as possible. Everyone is set to receive their offer by 20 April.
FSCS warns:
“FSCS may contact you by phone if we need to speak to you about your compensation, but please remember that you do not need to speak to anyone other than FSCS about it. We won’t use social media to get in touch with you, and we won’t ever ask you for money.
Be very wary of any emails, letters or calls claiming to be from LCF or someone else offering to help you get access to compensation.”
London Capital & Finance (LCF) was a Financial Conduct Authority (FCA) authorised firm which issued unregulated non-transferable debt securities, commonly known as ‘mini-bonds’, to investors and then speculatively invested the funds received in a number of underlying businesses. LCF went into administration in January 2019 and at the point of failure 11,625 bondholders had invested around £237 million.