Operator of £8.5m Trading Scheme Given 12 Year Bankruptcy Restriction
- Investors lost over £7,000,000 and Mr Mudge will face severe financial restrictions.
Following an investigation by the Insolvency Service, Stuart Carl Mudge has received a 12 year Bankruptcy Bankruptcy Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co Read this Term restriction for his involvement in operating a failed spread betting scheme dubbed “Churchgate Trading Syndicate” in 2012.
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The investigation into Mr Mudge’s conduct commenced on the making of the bankruptcy order following a petition presented by the UK’s FCA.
The investigation uncovered that between June 2009 and February 2012, Mr Mudge solicited £8.5 million from investors for his unauthorised investment scheme. The complaint also charged Mudge with making several misleading representations to actual and prospective investors. Such misrepresentations included that he was exempt from the FCA’s registration requirement. He also failed to provide pool participants with required monthly account statements and annual reports.
In addition, Mudge allegedly utilized promotional materials that showed trading returns based on hypothetical results, without including the required disclosure language. This included for example promising investors with ‘guaranteed’ returns of 15 percent every quarter and told their money would be used to trade spread bets.
In a Settlement Settlement Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer's name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2 Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer's name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2 Read this Term reached in September 2013, Mr. Mudge acknowledged he broke the law and was subsequently fined £7,010,000 as restitution to defrauded participants. But after he failed to pay any money to the FCA, Mr Mudge was made bankrupt on 9 December 2014.
Following his bankruptcy, the Official Receiver further investigated Mr Mudge’s conduct and in February 2017 and the County Court at Cardiff made a bankruptcy restrictions order against him for 12 years.
Mr Mudge’s period of bankruptcy restriction means that he cannot promote, manage, or be a director of a limited company until February 2029. Further restrictions include that he must disclose his status as a person subject to bankruptcy restrictions to a credit provider if he wishes to get credit of £500 or more.
Commenting on the bankruptcy restrictions order, Ken Beasley, Official Receiver at the Insolvency Service said: “This case is a prime example of the losses that can be incurred via an investment scheme that looks too good to be true. Investors lost over £7,000,000 and Mr Mudge will face severe financial restrictions lasting for 12 years.”
Following an investigation by the Insolvency Service, Stuart Carl Mudge has received a 12 year Bankruptcy Bankruptcy Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co Read this Term restriction for his involvement in operating a failed spread betting scheme dubbed “Churchgate Trading Syndicate” in 2012.
The London Summit 2017 is coming, get involved! [gptAdvertisement]
The investigation into Mr Mudge’s conduct commenced on the making of the bankruptcy order following a petition presented by the UK’s FCA.
The investigation uncovered that between June 2009 and February 2012, Mr Mudge solicited £8.5 million from investors for his unauthorised investment scheme. The complaint also charged Mudge with making several misleading representations to actual and prospective investors. Such misrepresentations included that he was exempt from the FCA’s registration requirement. He also failed to provide pool participants with required monthly account statements and annual reports.
In addition, Mudge allegedly utilized promotional materials that showed trading returns based on hypothetical results, without including the required disclosure language. This included for example promising investors with ‘guaranteed’ returns of 15 percent every quarter and told their money would be used to trade spread bets.
In a Settlement Settlement Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer's name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2 Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer's name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2 Read this Term reached in September 2013, Mr. Mudge acknowledged he broke the law and was subsequently fined £7,010,000 as restitution to defrauded participants. But after he failed to pay any money to the FCA, Mr Mudge was made bankrupt on 9 December 2014.
Following his bankruptcy, the Official Receiver further investigated Mr Mudge’s conduct and in February 2017 and the County Court at Cardiff made a bankruptcy restrictions order against him for 12 years.
Mr Mudge’s period of bankruptcy restriction means that he cannot promote, manage, or be a director of a limited company until February 2029. Further restrictions include that he must disclose his status as a person subject to bankruptcy restrictions to a credit provider if he wishes to get credit of £500 or more.
Commenting on the bankruptcy restrictions order, Ken Beasley, Official Receiver at the Insolvency Service said: “This case is a prime example of the losses that can be incurred via an investment scheme that looks too good to be true. Investors lost over £7,000,000 and Mr Mudge will face severe financial restrictions lasting for 12 years.”