The FCA has begun High Court proceedings over an alleged unauthorised investment scheme involving consumer investments of more than £23m in static homes.

It has taken action against Concept Capital Group (CCG), Ian Anthony Elliott, Adrian Felix, Ayub Swaibu, Edmund Brew, Ernest Kargbo, Raymondip Bedi, Riverrun Consulting Limited and Gateridge Consulting Limited over the scheme.

Raymondip Bedi was jailed earlier this month in a separate case brought by the FCA.

CCG has given undertakings to the Court which have the effect of freezing its assets, pending the outcome of the trial or further order of the Court.

The undertakings also prohibit the promotion or sale of the scheme.

The FCA alleges that CCG promoted investments in static homes, which were said to be let to social housing tenants placed by local councils. Investors were promised fixed returns and told the scheme was backed by the Government. The FCA alleges these claims were false or misleading.

The FCA's case is that the scheme operated as an unauthorised collective investment scheme (UCIS) with CCG carrying on regulated activities in the UK without the required authorisation or exemption.

The FCA also alleges that the firm issued unauthorised financial promotions and made false or misleading statements and/or impressions, in breach of the Financial Services and Markets Act 2000 and the Financial Services Act 2012.

Alongside Ian Elliott, the FCA claims that Adrian Felix and his company Gateridge Consulting, Ayub Swaibu, Edmund Brew, Ernest Kargbo, and Raymondip Bedi and his company Riverrun Consulting were knowingly concerned in CCG’s breaches.

The FCA said it is seeking:

• Restitution orders in favour of affected investors.
• Declarations of contraventions.
• Injunctions to prevent further breaches.

The proceedings are at an early stage and no trial date has yet been set, the regulator said.

Mr Bedi was sentenced on 4 July for a separate fraud uncovered by the FCA. He was sentenced to five years and four months in jail for his role in a £1.5m crypto fraud.

Mr Bedi pleaded guilty to conspiracy to defraud, conspiracy to breach the general prohibition under the Financial Services and Markets Act 2000 and money laundering offences.