ISLE of Wight investors are fighting to get their money back after Carlauren Group was placed into administration.
Investors across the country put £76m into projects across the UK, and £50m is unaccounted for.
The BBC recently reported that Carlauren's chief executive Sean Murray has been accused of misappropriating company funds, which he denies.
The group wanted to set up a string of businesses on the Isle of Wight, including a luxury beach club at Sandown, a care home at the town's Ocean Hotel and the Auckland House Hotel in Shanklin.
A group actions team, led by partner David O’Brien at Penningtons Manches Cooper (pictured), has been approached by 55 investors, including many from the Island.
He is investigating with a view to assisting them to recover their losses. So far, about 16 have signed up.
He said: "Those affected are small businesses, investment companies and individuals. We don't know what has happened to their money.
"There are more people out there affected by this, and most people invested £85,000 to £100,000 per unit, with some taking more than one unit.
"They were told it was an investment opportunity with guaranteed rental income, and some people received some rental income to start with."
He said people were not adequately warned about the risk.
He added: "We are trying to settle the claims in the early stages and the more people that come forward and join us, the better it will be for everyone."
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