Solicitors made bankrupt for assisting boiler room
29th March 2007A solicitor, Adrian Sam has been made bankrupt by the Financial Services Authority (FSA) because his previous law firm, Adrian Sam & Co (ASC), assisted an illegal overseas boiler room.
This follows the FSA's attempts to enforce a High Court ruling that ASC and its former partner, Mr John Martin, pay 360,000 GBP to 63 victims of the boiler room. A bankruptcy order was also granted against Mr Martin in August last year.
Jonathan Phelan, FSA Head of Retail Enforcement, said:
"This case is a warning to others who act as a UK front for boiler rooms that the FSA will use its full powers against them where possible to recover losses for the victims of their illegal activities. We also urge consumers to always check that they are dealing with an authorised firm before parting with their money as this could make a huge difference when things go wrong."
The FSA is currently liaising with the trustees in bankruptcy, however it is unlikely that victims will get all their money back. Investors requiring more information can call the FSA consumer helpline on 0845 6060 1234.
