Advalorem Value Asset Fund Limited ("Advalorem")
30 Apr 15
The Gibraltar Financial Services Commission ("FSC") conducted an investigation into Advalorem Value Asset Fund Limited ("Advalorem"), between February 2013 to October 2013, following which it petitioned the Gibraltar courts for a protection order to protect the interest of participants and potential participants. The protection order was granted in January 2014 and the Court appointed an administrator to safeguard the funds' assets.
Subsequent regulatory action by the FSC in respect of Mrs Minette Compson (a director of a company that was itself a director of Advalorem) and Mr Brian Weal (a director of Advalorem), was taken in the public interest and to protect investors and in particular to address what the FSC considers were serious and significant corporate governance failings on the part of Mrs Compson and Mr Weal. The FSC's decisions were appealed by Mrs Compson and Mr Weal, and in a judgment of 29 April 2015, the Supreme Court of Gibraltar dismissed both appeals against the FSC’s 12 December 2014 decisions.
FSC CEO, Samantha Barrass said today "These decisions send an important signal that there will be real and meaningful consequences for those who disregard their corporate governance responsibilities and thus put investors at risk."
Notes for Editors:
1. The decision notices have been placed on the FSC's website and take effect as of today.
2. The FSC is the regulator of the Gibraltar financial services market, regulating providers of financial services conducted in both Gibraltar and other jurisdictions. The FSC’s vision is to be recognised by our stakeholders as the model international financial services regulator and its mission is to provide financial services regulation in an effective and efficient manner in order to promote good business, protect the public from financial loss and enhance Gibraltar’s reputation as a quality financial centre. The regulatory objectives underpin the vision and mission statement. Namely, these are the promotion of market confidence; the reduction of systemic risk; the promotion of public awareness; the protection of the good reputation of Gibraltar; the protection of consumers and the reduction of financial crime.