THE Serious Fraud Office is still investigating a Bournemouth-based investment scheme eight years after it collapsed owing scores of millions of pounds.

Ethical Forestry attracted around 3,500 investors, many of whom believed they were buying trees and cropping rights in Costa Rica which they turned out not to own.

Around 2,181 investors have already been paid a total of £50.7million by the Financial Services Compensation Scheme (FSCS) since the business collapsed in 2015, while liquidators have received claims totalling tens of millions more.

The latest report from liquidators at TruSolv Ltd says with the Serious Fraud Office still investigating, no claims against the directors of the business have progressed.

The liquidators did not realise any assets of the businesses or receive any funds on the companies’ behalf in the 12 months to December 2022.

Three directors of Ethical Forestry – Matthew Pickard, from Poole, Stephen Greenaway, from Bournemouth, and Paul Laver, from Ferndown – were banned as company directors for six years in 2019.

The government said they withdrew £19m from the Holdenhurst Road-based company through loan accounts, of which £7.2m was taken out after HMRC began investigating the business’s tax liabilities.

Joint liquidator Shane Biddlecombe said in his latest report: “The joint liquidators continue to liaise with their UK and Costa Rican solicitors as to the best way to take control of the Ethical Forestry Group of companies in Costa Rica and the sale of their assets. This will in turn generate funds to be distributed to the UK owning entities. These matters are somewhat complex and further investigations have been undertaken to try and achieve the best outcome for creditors.

“The joint liquidators continue to liaise with their UK solicitors regarding claims against the directors of Ethical Forestry Ltd and confirm that claims were issued in the reporting period. These have been stayed whilst criminal proceedings taken by the SFO continue.”

The report says the FSCS will be a creditor of the companies, taking the place of the investors it has compensated.

Liquidators have received a further 102 claims from unsecured creditors totalling £28.9m, with at least nine more expected to lodge claims to the value of at least £9.36m.

“As previously mentioned, we are unable to confirm whether there will be sufficient funds realised after defraying the expenses of the joint liquidators, to pay a dividend to unsecured creditors,” the report says.

“However, it is anticipated that following a successful recovery of the Costa Rican assets, there will be a distribution to creditors.”

In an update last month, the SFO Said: “The investigation into Ethical Forestry Limited is still ongoing. The SFO would like to thank those investors who have already completed our investigation questionnaire and ask that you please retain any correspondence or documents you hold in respect of your investment.”

Anyone who invested with the business and has yet to complete an investigation questionnaire is asked to do so at sfovla.egressforms.com They can also contact support officers at ethical@sfo.gov.uk Investors have been asked not to destroy any documentation.