Things about to get very serious and much more real? / Felicitas Letters

[MrO666]

Interesting.......

So whilst this will be unlikely to apply in all cases, what it will probably do is make any potential "purchaser" of an alleged loan book think twice, which I suspect in a majority of cases will be all that's needed.

The argument about the original trustees selling off the "assets" being in the best interests of the trust members was brought up years ago when the whole Felicitas debacle started, and at last it seems like this train of thought is starting to prevail, and in this specific case been tested in court.

I very much think it's the end game now for this sort of thing, as anyone trying to claim repayment of alleged loans now knows that they're going to need to prove the validity in court, which is going to be very risky not to mention expensive. Even if the paperwork trail was perfect (which it isn't for any scheme), they now have a second hurdle of trying to prove that the trustee selling a trust asset, knowing that the alleged loans would then be called in , was in the best interests of the members..............

[eek]

Interesting.......

....they now have a second hurdle of trying to prove that the trustee selling a trust asset, knowing that the alleged loans would then be called in , was in the best interests of the members..............

Going back to a point I made a very long time ago

That depends on whether the current members of the trust are the same of those who originally benefited from the loans...

Note - this was more me highlighting a potential issue than pointing at an actual issue...

[Whowouldhavethought]

Out of interest, did anything ever come of the threats? I ended up settling for a small amount, but I still check on here to see what the state of play is.

[GregRickshaw]

Out of interest, did anything ever come of the threats? I ended up settling for a small amount, but I still check on here to see what the state of play is.

If you mean did they get people to pay up? Then we'd have to say yes something did come of the threats. I too settled for a ridiculously small amount just to get piece of mind and my life back after years of crap around loans, schemes, EBTs etc.,... so if the object of the exercise (the threats) was to get money then I would say they had great success.

For those who didn't pay anything you can bet any money on just around the corner comes a new slew of claims and counter claims etc.,

[MrO666]

It's worth remembering that precedent has now been set and that for any claim like this to actually succeed (short of just scaring people into paying up), they will now most likely need to prove to a judge that:

1) The alleged "loan" was in fact a genuine loan and legally enforceable, and that all paperwork leaves no doubt to that being the case.

2) That the sale of the trusts assets for a nominal sum was genuinely in the best interests of the trust members (worth reading eek's comment from 06-Jul-23)

The last point in is very interesting, and that's where a similar (not identical) challenge fell down I believe. This is why I think this all seems to have stopped, as it's exceptionally difficult to argue point 2 in any genuine capacity, and no doubt very expensive and risky to try.

Who knows what if anything will happen, however nearly a year on and I don't believe people have had any further contact.

[GregRickshaw]

It's worth remembering that precedent has now been set and that for any claim like this to actually succeed (short of just scaring people into paying up), they will now most likely need to prove to a judge that:

1) The alleged "loan" was in fact a genuine loan and legally enforceable, and that all paperwork leaves no doubt to that being the case.

2) That the sale of the trusts assets for a nominal sum was genuinely in the best interests of the trust members (worth reading eek's comment from 06-Jul-23)

The last point in is very interesting, and that's where a similar (not identical) challenge fell down I believe. This is why I think this all seems to have stopped, as it's exceptionally difficult to argue point 2 in any genuine capacity, and no doubt very expensive and risky to try.

Who knows what if anything will happen, however nearly a year on and I don't believe people have had any further contact.

Points 1 and 2 have been argued and fought over for a long number of years neither side managing to prove or disprove so whilst there is still a degree of ambiguity about these 'loans' there will be someone willing to take it up again. The threats however are possibly exhausted not sure how many people are actually 'untouched' compared to how many were involved.

Point 3

They did come back after lengthy breaks previously in various guises trying to collect the same amounts. Many will remember TFL who tried and then two years later it was Felicitas, I'm sure there were more iterations before TFL etc., to be perfectly honest though I do believe they have stopped now after making someone a very tidy sum of money.