The UK Financial Conduct Authority has won its case against Alexandra Associates UK, trading as Avacade Future Solutions, after previous findings were upheld in the Court of Appeal.
The Avacade parties are now considering an appeal to the Supreme Court.
In a statement issued today, legal advisers to Avacade said:
"The analysis of Adams and Avacade has now resulted in two different decisions by the Court of Appeal. For precise details of the difference, please refer to the records of our analysis of Adams and Avacade as presented to the Court of Appeal on 7th and 8th July 2021.
We are carefully considering the judgment of the Court of Appeal, including the view expressed by Lord Justice Popplewell in relation to those UK consumers who were introduced by Avacade and Alexandra Associates as being co-trustees of their own SIPPs.
Indeed, on 8th July 2021, the Master of the Rolls (Sir Geoffrey Vos), expressed concern that this could be ‘bear trap’. The views of these senior judges, (one of whom sits at the helm of the Civil Justice System in England and Wales) taken together, reiterates our long-held view that the claim by the FCA in fact leads to complex applicability of trust laws which undoubtedly could have significant implications for investors and adds further complexity to an already complex area of law. We are now considering turning to the Supreme Court for much needed clarification in this case and in the hope to prevent others from inadvertently falling into an unclear regulatory trap.
We note that Options SIPP have applied to the Supreme Court for permission to appeal the related judgment of the Court of Appeal in Adams. We will be advising our clients on their rights in relation to the same."
