The Financial Conduct Authority has launched High Court proceedings against Concept Capital Group (CCG) and a number of individuals over an alleged unauthorised investment scheme that took more than £23 million from investors.
The regulator claims that CCG promoted investments in static homes which were said to be rented to social housing tenants placed by local councils.
Investors were promised fixed returns and told the scheme was backed by the UK Government – claims the FCA alleges were false or misleading.
The FCA is pursuing CCG, along with its director Ian Anthony Elliott, Adrian Felix and his company Gateridge Consulting, Ayub Swaibu, Edmund Brew, Ernest Kargbo (also known as Ernest Moore), and Raymondip Bedi. It alleges they were “knowingly concerned” in breaches of financial regulation.
UNAUTHORISED COLLECTIVE INVESMENT SCHEME
The watchdog says CCG operated as an unauthorised collective investment scheme, carrying on regulated activities without the necessary permissions, while also issuing unauthorised financial promotions and making misleading statements in contravention of the Financial Services and Markets Act 2000 and the Financial Services Act 2012.
The case highlights the regulator’s ongoing clampdown on high-risk investment schemes targeting retail investors, particularly those offering steady returns linked to housing and social impact projects.
FROZEN ASSETS
CCG has given undertakings to the court that freeze its assets and prohibit the promotion or sale of the scheme while proceedings continue.
The FCA emphasised that these undertakings do not prevent CCG from making rent or licence payments to investors, but they do block redemption or buy-back payments. Existing tenancies and licences on static homes owned by CCG or its investors are unaffected.
The regulator has also discontinued its claim against Riverrun Consulting, a company associated with Mr Bedi, after the firm was dissolved. However, proceedings against Mr Bedi continue. He was separately sentenced in July this year in connection with a different fraud case brought by the FCA.
RESTITUTION ORDERS
The City watchdog is seeking restitution orders for affected investors, declarations of contraventions, and injunctions to prevent further breaches.
In its update, the FCA acknowledged that uncertainty around the case has unsettled investors, some of whom feared they might no longer receive payments.
“To be clear, CCG’s undertakings to the Court allow it to make payments of rent, licence fees or regular returns on investments,” the regulator said.
The proceedings remain at an early stage and no trial date has been set.
