DTI WINDS UP PROPERTY INVESTMENT COMPANIES
(18 April 2005)

A string of companies that offered property investment opportunities has ceased trading after the Secretary of State for Trade and Industry presented petitions in the High Court to have them wound up in the public interest. The companies being wound up are Sterling Mansion (UK) and Mansion Investments, SMI Overseas, Turningpoint Seminars and CM2 Services. The petitions to wind up the companies followed confidential investigations under Section 447 of the Companies Act 1985.

Sterling Mansion (UK) and Mansion Investments offered to help clients build a £1 million buy-to-let property portfolio within a year in return for a fee of up to £33,000. SMI (Overseas) also advertised a scheme that would allow members to build a multi million pound property portfolio.

Turningpoint Seminars operated £6,000 courses for prospective investors, teaching them how to acquire buy-to-let properties without payment of a deposit. Portfolios of Distinction offered a similar scheme to build a £1 million property portfolio for a fee of up to £50,000.

CM2 Services offered an investment scheme to members of Portfolios of Distinction and Turningpoint Seminars enabling them to invest in the purchase of uncollected debts. Investors were told that collection of these debts would provide returns of up to 100% within 12 months.

On the application of the Secretary of State the Court appointed the Official Receiver as provisional liquidator of the companies pending the full hearing of the petitions on 11 May 2005.

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