Lies are the reality behind a 7% dream
Probing a world of scams and blunders
P.R.writes: A scheme called Royalty 7, run by Finance Your Dream Limited from an address in London, is offering seven per cent interest compounded daily. It sounds like another scam so I hope you can warn readers. WELL spotted. Almost everything about Finance Your Dream Limited is false, including the idea that it can pay seven per cent daily interest. If it could, this business could singlehandedly rescue the Greek economy within weeks.
The company claims to have been operating since 2001 and to have made a fortune through property development in Dubai.
Since then it has expanded into mortgage broking, tourism and the energy sector.
It claims to have made a profit of more than 2,000 per cent from tobacco and cocoa crops, with major deals in Brazil and China. However, anyone looking for proof will be disappointed.
Finance Your Dream says: ‘Specific details of our asset location, shares we own, our trading procedure and business references are classified due to the private nature of our agreements with all parties involved.’
Or perhaps this is simply a crooked scheme run by crooked people?
The truth is that the company was registered just eight months ago and has issued no accounts or other financial details.
It names its boss as Michael Solomon, but Companies House records show its sole director as Dmitry Berger, with an address in Israel and a post office box number at a business park on the Isle of Man.
The island’s Financial Supervision Commission, which punches well above its weight as a watchdog, says this is hokum. It told me: ‘PO Box 170 is currently allocated to a department of the Isle of Man government.’ Claims by Berger and his company to have links to the island are false, officials added, and anyone who has invested should contact the police.
But the lies do not stop there. For several months Finance Your Dream used an upmarket address in southwest London as its registered office and it still gives it as its trading address – to the dismay of the real occupants of the property.
Chartered accountant Michael Grindle, whose home it is, has contacted the police and the Serious Fraud Office. He told me: ‘Neither I nor any member of my family has any connection whatsoever to the business’.
Finance Your Dream recently changed its registered office to an address in Coventry occupied by Simple Formations, a company formation agency.
Simple Formations confirmed that the company was a customer, but declined to say who really runs it.
The bottom line, of course, is that even if it did have a genuine address for itself and its director, Finance Your Dream would still be 100 per cent illegal. On Tuesday last week, the Financial Services Authority warned that it had no licence to accept deposits from the public.
If, or rather when, the wheels drop off, investors will not be able to complain to the Ombudsman or claim compensation.
Its lies and law-breaking should mean the company is closed down – and the sooner the better.