Compensation From Deceased Fraud Estate

Compensation From Deceased Fraud Estate.

A convicted, but deceased, Boiler Room Scam fraudster’s estate has successfully been pursued in the High Court by the Serious Fraud Office (SFO).

Redmond Johnson, at the time aged 66, was convicted in September 2011, of fraud for shares in a bio-diesel company called Worldwide Bio Refineries.  He agreed to assist the prosecution with his sentenced reduced to 3 years and fellow conspirators being convicted.  The original boiler room scam netted around £8m.

He has since passed away and the SFO pursued recovery of some of the illegal gains from his estate under the Proceeds of Crime Act 2002.

An award of £67,000 was made for compensation to investors, and just over 400 people will benefit from this.  Recovery cases against the other convicted parties are ongoing.

Our view
Crime is a crime and we abhor people who defraud the vulnerable into parting with monies into scams.  Boiler rooms are theft and we welcome both convictions and recovery.  That said, some blame has to go to investors who are greedy and believe would promises made by some to get you to part with hard earned money.

If something were really that good, we would all know about it and we would all be doing it.  If you think an investment is too good to be true, contact us and we will give you our honest opinion.