Clients who purchased investments through Kensington advice firm London Court Limited (FRN 146522) are being targeted by scammers.

Investors holding Romco Metals, Nalu Homes and Lisarb Energy bonds on London Court’s ‘My Investment Hub’ platform are being cold called or emailed by individuals falsely claiming to represent the investment companies or a number of unauthorised firms.

The FCA said that these individuals are trying to scam investors and have the hallmarks of recovery rooms.

Recovery rooms are where fraudsters approach investors who have been scammed or had failed investments, offering to help them get their money back for an upfront fee.

On 22 August the FCA imposed restrictions on London Court Limited for failings relating to the 'My Investment Hub' platform. 

It means that London Court cannot conduct regulated activities for either new clients or new investments.

The firm, based in Kensington Church Street in London, can provide bond administration and ISA management services to existing clients and investments they already hold, the FCA said.

The regulator said: “We are concerned that London Court Ltd has inadequate systems and controls in place to ensure investments on its My Investment Hub platform are compatible with the needs of the clients to whom investments are distributed.

“We have reviewed investments on the My Investment Hub platform and have serious concerns over the level of due diligence London Court Ltd has conducted.”

Yesterday Financial Planning and wealth management trade body PIMFA reiterated calls for the FCA to have a larger role in targeting financial scams.

PIMFA believes the FCA should be allowed to provide strategic support to Ofcom to prevent harm being introduced to financial services consumers and prevent scam adverts swiftly.

The trade body said a partnership between the FCA and Ofcom would ensure that Ofcom has the expertise to identify breaches, making the Online Safety Bill more effective in preventing fraud.

Alexandra Roberts, head of regulatory policy and compliance at PIMFA, said: “The current focus on fraud by policymakers is welcome, as is the Government’s commitment to reducing fraud by 10% by 2025. But we are also concerned whether the additional resources provided will be enough to obtain the required improvement and meet the commitment to reduce fraud. For there to be a difference, we believe significantly more funding is needed.

“We have also repeatedly urged the Government to provide more funding and resource to Ofcom so that it will be able to regulate social media platforms and search engines effectively under the new powers given it by the Online Safety Bill.

“In order to eradicate fraud PIMFA believes there must be a role for the Financial Conduct Authority in helping to identify instances of fraud that introduce obvious harm to financial services consumers, a more centralised approach to combatting fraud and much more international cooperation.

"We would urge policymakers to support such proposals and will continue to work with regulators and the Government to see these reforms come into being.”