SFO: Two former directors charged with fraud over £88m car lease scheme
Two former directors of Raedex Consortium have been charged with fraud over a £88m nationwide car leasing scheme.
Reginald Larry-Cole and Scott Martin were directors of Raedex Consortium, which included companies such as Buy2Let Cars and Paygo Cars.
Buy2Let Cars offered investment in a fleet of popular cars from brands to be bought and leased out to the public with the promise of high levels of returns.
In February 2021, the Financial Conduct Authority (FCA) imposed a number of restrictions on Raedex Consortium, which required the company to cease over “serious concerns” about its finances. A month later, the company entered administration.
The Serious Fraud Office (SFO) opened its investigation in April 2021 as its officers raided two properties and apprehended and arrested a suspect.
Larry-Cole and Martin are accused of providing those who signed up with false information, encouraging people to pay in whilst knowing that investments were not in reality backed up by the cars they had been promised.
Today’s announcment shows that it was Larry-Cole that was arrested in 2021, he was released on conditional bail in October 2021. However, he was assessed to be at risk of leaving the jurisdiction.
Larry-Cole was charged this morning at Staines Police Station in Surrey. While Martin has received a written charge, he will appear at Westminster Magistrates’ Court on 1 February 2024.
Both men were both charged with three counts of fraud by false representation.
Nick Ephgrave, director of the SFO said: “Hundreds of people suffered significant losses when this well-marketed, seemingly safe car hire scheme collapsed.”
“Today’s charging is a significant step forward in seeking justice for all those affected,” he added.