At a time when some Ghanaians are coming to terms with the loss of their investments to gold dealership company, Menzgold, thousands in London are waking up to a similar reality.
The BBC reports that thousands of people who invested in a high-risk bond scheme marketed as a “Fixed Rate ISA” fear they have lost everything after the company collapsed.
London Capital & Finance (LCF), now in administration, took £236m following a marketing campaign that is now under investigation for mis-selling.
Many were first-time investors – inheritance recipients, small business owners or newly retired.
Administrators said investors could get as little as 20% of their money back.
‘35 years of savings gone‘
Peter Thornley and his wife retired to Devon after a teaching career. He now fears he may have to return to work if their money is lost.
“It put us under a lot of pressure – socially and emotionally. It makes you feel really foolish,” he said. “There is a group of us bondholders; there are about 900 in ours.
“We have all got money that we have been left by parents or a lump we got on retirement, then all of a sudden 35 years of savings has gone in a couple of months.”
John Wright, a retired joiner from Northampton, was recovering from heart surgery when he found out LCF was in administration.
“This was money for our grandchildren, we weren’t going on fancy holidays or buying flash cars – my wife worked in BHS and saved her whole life, this is hard-earned money, we saved and saved and saved.
“I am devastated, I feel a complete fool. I was completely taken in by the marketing.”