Munio Capital director fails to wash his hands of the company, informs investors that default is likely

In October 2018 the director of Munio Capital attempted to have the company voluntarily struck off the register, which would have resulted in the company being dissolved and its assets (if any) forfeited to the UK Government.

That attempt failed after Companies House received an objection, most likely from a creditor. Having failed to get rid of the company, the sole director, Gary Williamson, has at last filed a set of accounts for July 2017, 10 months late.

The accounts disclose that Munio raised £812,500 from investors in its 5-year bonds, and that all of this money was invested in a single company. This company is not identified but is believed to be Privilege Wealth. The accounts note that Williamson (who uses the royal we and refers to “directors” in the plural, despite Munio now having only one director and employee, himself) is “concerned” that the company in question is in liquidation.

The accounts state that “the company has not paid any interest and… it is not likely the company will pay interest due in whole or in part”. Despite the collapse of Munio’s sole asset, the accounts continue to use the going concern basis.

The accounts simply state that £812,500 was raised from investors and a corresponding £812,500 was invested in “Investments”. This is an eyebrow-raising claim because it makes no allowance for the running costs of the company, nor the fact that according to Munio’s literature, 95% of investors’ money was to be insured against “fraud, forgery” etc and “business model failure”.

If every cent invested by investors went into financial instruments as claimed by the accounts, where did the money come from to pay the insurance premiums? And did Williamson really work for free?

The accounts were, unsurprisingly, unaudited.

Williamson appears to be trying to leave the Munio debacle behind him in Switzerland. According to his LinkedIn profile, which does not mention Munio, he is now working as Managing Director of a Swiss firm, 3 G Capital SAGL, which is seeking to raise CHF 50 million from bond investors for investment in the Green IS Group (of which Williamson is also a director).

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