Member Article

York-based investment firm of ex-Ukip MEP Godfrey Bloom fined £2 million in damages

York-based investment firm TBO Investments, whose largest shareholder is controversial ex-MEP Godfrey Bloom has been ordered to pay £2 million in damages after losing a High Court case.

The investment firm has been ordered to pay the money to Andrew and Kirsty Mohun-Smith, a retired couple, over “negligent advice” given to the couple, and reportedly put almost all the couples money in unregulated and high-risk schemes.

Godfrey Bloom who owns 53.5% of TBO Investments, told The Independent on Friday he was “stunned and horrified” to hear about the rulings against TBO and size of compensation owed to the Mohun-Smiths.

TBO apparently made no attempt to help or to the Mohun-Smiths after the couple complained, nor did the company agree to mediation. TBO Director Scott Robinson, a former business partner of Mr Bloom’s, did not attend the court hearing in June and sent a sick note which Judge Richard Seymour QC dismissed.

TBO must now pay £2.24 million and were ordered by the judge pay an interim payment of £30k by 14 July, but the Mohun-Smiths have not received any compensation so far.

Mr Mohun-Smith, told the Independent: “I relied upon [TBO to put in place investments for us that would provide a reliable and comfortable standard of living for the rest of our lives.

“However, to my complete horror it has become clear that nearly all our money was placed in unregulated collective investment schemes which have been suspended with an almost complete loss of capital

“This company and its advisor Scott Robinson must be stopped from giving financial advice to members of the public.

“They provide negligent and misleading advice. They do not seem to realise that they are playing not only with people’s money but their lives and it cannot continue.”

Since the High Court ruling, TBO has ignored all communication from the Mohun-Smith’s solicitor Jonathan Mortimer, from Raworths in Harrogate, including requests to provide details of TBO’s insurance policy.

Mr Mortimer has now written to all three TBO directors including David McLaughlin, a former Ukip employee in Mr Bloom’s office, as he pursues them on behalf of the Mohun-Smith’s for their compensation.

This article previously stated that Gadfrey Bloom was a Ukip MEP, which is not the case.

This was posted in Bdaily's Members' News section by Clare Burnett .