The Serious Fraud Office (SFO) has launched a legal investigation right into a supplier of pre-paid funeral plans.
Around 46,000 prospects had paid in the direction of funeral plans priced as much as £4,000 earlier than Wakefield-based Safe Hands Plans collapsed final 12 months.
Administrators reported there was an estimated £70.5 million claimed by collectors.
The SFO introduced the legal probe would look into suspected fraud on the agency and its dad or mum firm SHP Capital Holdings Limited.
Nick Ephgrave, director of the SFO, despatched notices to stockbrokers and monetary establishments requesting info, following related requests made to UK banks and different potential witnesses final month.
“Thousands of individuals from all corners of the UK lost peace and security after being sold a product on the basis it would help reduce the burden on their loved ones upon their death,” he stated.
“Today, we have taken decisive next steps in our full criminal investigation into Safe Hands Plans.”
Anyone affected by the Safe Hands collapse is being suggested to proceed liaising with directors FRP Advisory.
The agency had been in discussions with the Financial Conduct Authority (FCA) forward of the watchdog’s transfer to control pre-paid funeral plans from July final 12 months.
But the corporate stopped taking new orders and withdrew its utility for FCA authorisation in February.
When Safe Hands collapsed final March, the directors stated their appointment “was made by the directors of the company, after a period of severe financial challenge, which has left the business unsustainable in its current form”.
“The company has ceased to trade insofar as it will not be accepting any new customers, but will be assisting current plan holders with contingency funeral planning services with the assistance of a third-party provider,” the assertion added.
Source: information.sky.com”