The businessman whose online marketing company led 12,000 largely elderly savers to invest £237 million in London Capital & Finance has admitted to the High Court that he had financial difficulties and was “scraping for funds” before winning the contract.
Paul Careless, a former policeman, said that he personally made nearly £9 million in commissions from his work, which sent people into LCF before it collapsed, losing investors nearly all their money.
Last week, he told the High Court that he had been “carrying quite a lot of debt, both commercially and personally” before winning the contract with LCF. The organisation turned out to be an alleged Ponzi scheme.
Administrators acting for the victims are suing him, and others associated with LCF, to