Investment firm faces Madoff action

Thursday 29th January 2009, 2:30PM GMT.

Bramdean Alternatives Ltd boss Nicola Horlick.

CLOSED-ENDED Guernsey-based investment company Bramdean Alternatives Ltd is facing possible legal action over Bernard Madoff’s alleged £37bn pyramid scam.

It comes as 10 wealthy British investors have approached law firm Edwin Coe with the intention to sue the intermediaries for the money they lost.

As well as Bramdean, the other banks targeted by the 10 for the advice they gave out include HSBC, UBS and Barclays.

David Greene, head of litigation at Edwin Coe, said his clients were yet to make a decision on whether to join a class action lawsuit in America or launch one in Britain.

‘When you are in a position where the whole of an investment strategy is a fiction, you are bound to ask questions about the advice you were given.’

Bramdean at the time of the alleged fraud coming to light had around nine per cent of its fund invested with Mr Madoff.

Since then its boss, Nicola Horlick, has been outspoken and critical of the US authorities for not detecting the alleged fraud earlier.

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tilden-smith

February 2, 2009 at 11:43 pm

I t just goes to show that greed does not pay. It is high time that wealthy investors, who presumably have good brains in their heads,realise that above average returns have above average risk. The only criticism that one might level at Bramdean was that it had more than 5% of its assets in one investment.

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