An IFA firm is facing £1 million in claims from clients who said they were misled over a tax avoidance scheme. Omni Executive Group took £6,500 of the £10,000 fee that clients believed was going into a 2009 US comedy film, Confessions of a Shopaholic.
Rebus, a claims management firm, is representing several investors in pursuing the independent financial adviser who may have mis-sold the tax avoidance scheme.
Omni, has decided to go into insolvency.
Well here we are at last someone has decided to actually go back to the boutique makers of these elaborate schemes to avoid tax and hold them to question.
I think quite frankly if I paid a sum of money to someone who put forward a scheme on my behalf saying it was watertight and it subsequently turned out to be not so and subject to an HMRC investigation which can be long, very tiresome and very expensive – I would want an answer from the originator of the scheme to explain to me why I am having to defend what appears to be his scheme.
Surely he has all the answers and should provide those answers and in fact it should have been surely part of the arrangement that if HMRC actually investigated or queried the scheme the originator would have been able to answer it quite simply by saying this that, this that, this that.
So I suppose somebody is actually thinking along the same lines as I am.