Liberty SIPP enters administration
The Downfall of Liberty SIPP
The SIPP provider Liberty SIPP has finally entered administration after receiving thousands of claims against them due to lack of due diligence in taking business on from unregulated introducers, such as Avacade and Anton Barr.
Covered up to £85,000 by Financial services Compensation Scheme:
· Ethical Forestry
· Global Plantations
· Invest US- Exit Strategy
· Gas Verdant
· Lomax Student Halls
· Storage Pods
· Dolphin Capital
· Green Oil
· Gravity Child Care
· Premier Child Services
· Land investments
The Financial Conduct Authority (FCA) announced on 27th April 2020 that the firm entered administration because it could no longer afford to defend redress claims made against it. The claims are linked to the acceptance of high-risk non-standard investments into its non-advised SIPPs between 2010 and 2015.
Liberty SIPP was sold to EBS Pensions Limited in October 2018; however, they did not take on any of the liabilities from Liberty SIPP
If you were not a High Net Worth Individual, earning over £100K per year, or a Sophisticated Investor with considerable investment experience, it would not have been suitable to invest in high risk unregulated investments within a Liberty SIPP.