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Claim against OMI (Old Mutual International Isle of Man Ltd and Royal Skandia Life Assurance Ltd) and Claim against Friends Provident International Limited.

Coburn Corporate Intelligence Pty Ltd (Australia) (CCI) have organised two claims at no upfront cost to you against Old Mutual International Isle of Man Ltd (now Quilter International Isle of Man Ltd) (OMI) and Friends Provident International Limited (FPI) (together the insurance companies).

Background to claim

The insurance companies hosted funds on their platforms which failed. It is alleged that people who invested in Portfolio Bonds, which were linked to those funds on the insurance companies’ platforms, are entitled to compensation.

The failed funds include:

  1. Axiom Legal Financing Fund;
  2. LM Managed Performance Fund;
  3. All other LM Group funds including the Trilogy Wholesale FMIF
  4. Premier New Earth (all Premier New Earth managed investment schemes);
  5. Premier Eco Resources
  6. Kijani Fund

Current stage of claims

Solicitors, Signature Litigation LLP (London), Advocates Callin Wild LLC (Isle of Man) and Queen’s Counsel in London (the “Legal Team”) have reviewed the facts and have prepared both claims. CCI have completed the funding arrangements for both claims. The claims were issued by the Isle of Man High Court on the 4 March 2020 and was served on both the Defendants on the 3 July 2020. As served, the claims are both in excess of £30 million and it is believed are likely to be for a combined total of more than £100 million (the Class Actions).

The Class Actions are overseen by a five-member Litigation Management Committee, comprising of investors and independent members (the “LMC”) with a sub group for the OMI Claim and the FPI Claim as required.

Eligibility to participate in the class actions

  1. Did you invest in a Portfolio Bond linked to funds on platforms run by either OMI (Skandia) or FPI?
  2. Was the Portfolio Bond linked to any of the following funds?

    • Axiom Legal Financing Fund;
    • LM Managed Performance Fund;
    • All other LM Group funds including the Trilogy Wholesale FMIF
    • Premier New Earth (all Premier New Earth managed investment schemes);
    • Premier Eco Resources
    • Kijani Fund

Registering is cost and commitment free; once accepted to participate in either of the class actions you will have access to:

  1. updates on the progress of the matter;
  2. participation in any settlement that may be reached with the insurance companies; and
  3. information from the Legal Team and the LMC.

By registering with us you are providing your consent for us to contact you in relation to this matter, which consent you are at liberty to withdraw at any time by de-registering. Registration will not expose you to any liability for costs; express authority to incur costs on your behalf would have to be obtained before any liability could arise. Registration does not form any obligation on CCI owing to the registering parties, save to undertake not to pass your contact information on to third parties except in relation to the furtherance of this matter and to delete all contact information from our database in the event that you de-register.

Upon registration you will be required to certify that you purchased relevant bonds through either OMI (Skandia) or FPI and you believe that you have suffered a loss as a result of those investments.

Once this process has been completed, you will become a Member of the OMI Claim or the FPI Claim and you will be eligible to have them pursued on your behalf (as part of the Class Actions) in the Isle of Man High Court.

How do I register my claim?

There is no cost to you whatsoever for registering. All the class actions’ ongoing costs are being met by a third-party litigation funder.

All up, this process should take no longer than one hour from start to finish. You will be required to provide your personal details including information on which fund you invested with, through which insurance company and the amount of your estimated loss in GBP or equivalent.

If you have kept the original Application Form provided to the insurers in respect of the Portfolio Bond, it should be uploaded (attached) with your details.

1. Register your name and email above.

This adds you to our email list to stay up to date on the progress of the matter. PLEASE NOTE: simply adding your name to our email list does NOT make you a member of the class. We will send you more information and agreements that you must accept before we can formally add you as a member.

2. Read and accept the LMA and LMCA agreements

We will email these to you with some details about the class actions. Accepting is an easy quick reply email.

3. Upload supporting documents

We need you to upload your supporting documents and provide some details about your claim. We will send you a link via email to provide your information and upload your documents. While you wait for us to send your link, get your documents ready to upload. We can accept PDF files only, and a maximum size of 32MB. If you have trouble with your documents, please contact us on admin@coburnci.com.

4. Becoming a member of the class

Once you have submitted all of your information, your claim will be reviewed by us and we may contact you for further information or clarification. You will NOT be immediately added as a claimant in the Class Actions, but the intention is to add you by agreement or court order in the near future.

Frequently Asked Questions

Old Mutual International (formerly Skandia International) (OMI) and Friends Provident International (FPI) sold investment products described as “Portfolio Bonds” or “Insurance Bonds” (with specific product names such as the “Executive Investment Bond” and the “Reserve Investment Bond”). These investment products are referred to below as “Bonds” and were sold to customers all over the world – in particular, expatriate retirees.

The capital invested in the Bonds was placed in various funds which have now failed or suffered substantial losses (the “Failed Funds”). The Failed Funds include the following:

  1. Axiom Legal Financing Fund
  2. LM Managed Performance Fund
  3. All other LM Group funds including the Trilogy Wholesale FMIF
  4. Premier New Earth (all investment schemes managed by Premier New Earth)
  5. Premier Eco Resources Fund
  6. Kijani Fund

The Class Actions are being brought in the Courts of the Isle of Man where the defendants are domiciled. In very simple terms, the claims are that:

  • OMI and FPI made false statements about the nature of the Bonds to investors. In particular, statements which led investors to falsely believe that they would not be exposed to the risk of a total loss of capital when they invested in the Bonds.
  • Investors relied on these false statements and suffered substantial losses as a result. Had they known the true position, they would have invested their money into safer investments.
  • OMI and FPI had a legal duty to carry out proper due diligence on the Failed Funds but failed to do so. As a consequence, investors’ money was invested into the Failed Funds resulting in a total, or almost total, loss of capital.

The aim is for investors to receive at least a 60% return on their principal funds invested together with interest. However, the return will depend on various factors which cannot be predicted at the moment, including whether or not the defendants make an early settlement offer, and so it is impossible to be definitive at this early stage or offer any guarantee of what might be recovered.

We are not aware of investors managing to recoup their losses through any other routes. The sale of the products was structured in a way which means that investors are unable to benefit from any FCA compensation schemes (and the equivalent Isle of Man regulator has no comparable scheme). It is highly unlikely that recoveries will be possible through the liquidation of the Failed Funds since there is little or no value left in them, and neither OMI nor FPI are likely to compensate investors voluntarily. In short, a legal claim against OMI and FPI is likely to be the only viable route open to investors to recover compensation for their losses.

The Class Actions are being managed by a Litigation Management Committee which includes fellow investors in the Bonds. The Committee is advised by an experienced team of lawyers and other professionals (please see below for details of the team).( the LMC)

If either of the Class Actions are defended all the way to a final judgment, we estimate that they may take one to three years to resolve in the Isle of Man Courts.

Either Class Actions may be resolved sooner if the defendants agree to a mediation or settlement. The LMC is empowered to make a decision, acting on legal advice, as to whether or not to accept a settlement offer.

No. A litigation funder has agreed to finance the legal costs of the proceedings. The litigation funder has also agreed to cover any adverse costs exposure in full and has put in place an insurance policy to cover a potential adverse costs exposure. You will therefore not be required to make any financial contribution to the legal costs of pursuing the Class Actions and the litigation funder has agreed to meet any liability for the defendants costs if either of the Class Actions should fail.

If there is a successful outcome, the Legal Team and litigation funder will be paid out of part of the proceeds, as will the management costs of the Committee and CCI.

Yes, provided you agree with the information that they provide in response to the questionnaire.

You can only participate in the Class Actions if you were sold a Bond (or a structured product linked to a Bond) by OMI or FPI. Unfortunately, we cannot accept registrations from direct investors in the Failed Funds who were not sold a Bond..

You may be able to join the Class Actions. Please provide us with copies of your supporting documents and we will confirm whether you are able to join.

There is a strict time limit to bring Class Actions for losses of this nature. However, we believe that the vast majority of investors will still be in time to bring their claim. We will, however, ask you to complete some questions in a questionnaire in order to assess whether that you qualify.

Coburn Corporate Intelligence Pty Ltd ACN 160 777 962 (CCI), specialises in investigating and bringing large claims against financial institutions. We put together a team of lawyers and a funder to bring actions in order to obtain compensation for investors. We only get paid if we win and there is therefore a full alignment of interests here.

The LMC is advised and represented by an experienced and leading legal team comprising:

  1. (a) Signature Litigation LLP

    Signature is a law firm based in the City of London and is recognised by the major legal directories for its expertise in commercial and banking disputes. Signature’s specialism is major and complex litigation: for example, they act for the largest investor group by value in the ongoing rights issue litigation against RBS. Daniel Spendlove, a Partner, will lead this particular matter.

  2. (b) Graham Chapman QC

    Graham is a leading commercial barrister and a member of 4 New Square Chambers. He is acting for a claimant group in the Ingenious film finance group litigation and has extensive experience of litigating in the Isle of Man. He is recognised in particular for his expertise in commercial litigation with an offshore element and in complex investment disputes.

  3. (c) Jonathan Wild (CallinWild)

    Jonathan is Head of Litigation at CallinWild, a law firm which has one of the most renowned litigation teams on the Isle of Man. Jonathan is recommended by the major legal directories and has been recognised as a Leading Individual for his work in both 2020 and 2019.

You will not be added to the Class Actions at this time. CCI will add you to a database for the Class Actions and we may require further information from you. The Legal Team will inform you when you have been added to the Class Actions.