A Professional Adviser article reveals that Exmount Commercial Developments, which disappeared with investors’ money in the summer of 2019, has continued to scam investors even after disappearing.

The couple had invested their life savings with Exmount in 2018, after they were promised between 9.12% and 10.35% annual returns on their investment with three- or five-year bonds. The couple began investing a small amount of money, but over the course of a year took out five mini-bonds with Exmount for a total of £45,000.

The pair tried to redeem the unregulated bonds in early August 2019. According to Chan, a company representative asked the couple to pay a £606 exit fee. The pair paid, thinking they could get their capital back, but were then told there had been an error, and were asked to send an additional £606.

Needless to say the couple never got their £1,212 or their £45,000 back.

Note that August 2019, when the customers attempted to redeem their bonds, was months after Exmount Construction had already done a runner and stopped responding to investor queries.

Whether the recovery fraud was perpetrated by Exmount personnel themselves, or whether Exmount sold their contact list to a third party who then contacted the couple claiming to be from Exmount, is unknown, and matters little.

Exmount Construction Limited went through a series of director changes in its final months, with the final director, Rakesh Raj, resigning on 1 August 2019. Raj was also a director of a shell company, ECD Group Limited (it is probably not a coincidence that ECD stands for Exmount Commercial Developments). Exmount Construction is now rudderless with no directors.

What should I do if I invested with Exmount Construction?

Investors who are owed money by an unregulated firm and aren’t being paid have two practical options: 1) seek legal advice from a registered solicitor, and risk throwing good money after bad, or 2) write it off and forget about it.

Investors can also report Exmount’s disappearance to Action Fraud, although they should not expect to hear anything back beyond an automatic acknowledgement.

If investors are cold-called by anyone claiming they can get their money back from Exmount in return for “legal fees” or “admin fees” or any other payment by the investor, it is a scam – just as in the case reported.

Exmount Commercial Developments (a trading name of Exmount Construction Limited) offered 3 and 5 year bonds paying 9.12% and 10.35% per year. I reviewed the bonds in April 2018.

According to both investors and Jade State Wealth, Exmount Construction has stopped paying interest and is failing to respond to phone calls.

Jade State Wealth had been hired by Exmount to act as Security Trustee. However, according to Jade State, Exmount failed to comply with anti-money-laundering and liquidity requirements and consequently Jade State withdrew its services in February 2018.

According to Jade State, Exmount has continued to solicit investment regardless while still telling people that the investment was overseen by Jade State. Some of them have fruitlessly contacted Jade State asking where their money is.

A request for comment from myself last week went unanswered. Exmount’s website, exmountcommercial.com, remains up at time of writing. It contains little information and in fact some of it (notably a Complaints Policy) has been copy and pasted from Wellesley.

Exmount bonds were promoted by Amir Damoussi via his company Asset Backed Investments for up to 40% commission. Asset Backed Investments was shut down by the Insolvency Service in May 2019.

Over the past year or so there have been numerous changes to the people in charge at Exmount, according to Companies House. At the time of my review the sole director was Joey Mason. Mason stepped down in May 2018 and was replaced by Ousama Moufid, who was replaced in December 2018 by Elmeki Boukhris, who was replaced in April 2019 by Diana Mahay, who after a Lady-Jane-Grey-like reign of three and a half weeks was replaced by Rakesh Raj, who *breathe* remains director at time of writing.

The ownership of Exmount passed between the directors at the same times, although a confirmation statement has not been filed for Elmeki Boukhris’ brief reign.

At the end of May Rakesh Raj filed micro-company accounts which showed no creditors. This has clearly come as news to the people who thought they had invested in its bonds.

What all this has to do with Exmount Construction going AWOL, and whether any of these people actually exist, is anyone’s guess.

A few days ago Exmount changed its address back to the notorious 2 Woodberry Grove, London. Exmount was formed by a company formations outfit, A1 Company Service, which created numerous off-the-peg companies which were later acquired by binary options and forex scams. Exmount, like all these companies, started life at 2 Woodberry Grove, the home of Barbara Kahan, a former director of A1 who is now 88 years old (if she is still alive).

A1 Company Services is not accused of any wrongdoing as it is not their problem what people do with the companies it forms after buying them. Why Exmount has changed its address back to 2 Woodberry Grove is unclear.

What should I do if I invested with Exmount Construction?

Investors who are owed money by an unregulated firm and aren’t being paid have two practical options: 1) seek legal advice from a registered solicitor, and risk throwing good money after bad, or 2) write it off and forget about it.

If investors are cold-called by anyone claiming they can get their money back from Exmount in return for “legal fees” or “admin fees” or any other payment by the investor, it is a scam. Reputable solicitors do not cold call, and administrators collect their fees from the company, not creditors.