Fraud officers conduct raid in Aylesbury as part of investigation into Luxury Care home company collapse
The raid is part of an ongoing inquiry into the activities of the Carlauren Group, a UK-registered property developer that collapsed into administration in November 2019.
The Serious Fraud Office (SFO) have conducted raids on two locations in southern England and arrested three suspects - as part of a new investigation into an alleged £76 million fraud involving luxury care homes.
The raids, in St Leonard’s, Dorset, and Aylesbury, Buckinghamshire, are part of an ongoing inquiry into the activities of the Carlauren Group, a UK-registered property developer that collapsed into administration in November 2019.
This collapse resulted in elderly residents being displaced from their homes and left over 600 investors facing financial losses.
The Carlauren Group, over a span of four years, acquired 23 properties across the UK, primarily former hotels such as the historic Windlestone Hall in Durham. It promised investors a 10% annual return on investment by renovating these properties into upscale care homes.
However, only nine of these properties were operational, with some still functioning as hotels instead of care facilities. Additionally, the group purchased extravagant assets including two Lamborghinis, a McLaren 570GT, a private jet, and two yachts, purportedly for company use.
More than 600 individuals and companies invested in the scheme by purchasing rooms in these facilities, which were marketed as offering luxurious amenities such as swimming pools and room service. These rooms were sold with a guaranteed annual payout and the possibility of reselling them at a profit after a decade.
This investigation marks the fifth new inquiry initiated since Nick Ephgrave QPM took on the role of Director of the Serious Fraud Office in September. The operation was supported by the National Crime Agency (NCA).
Nick Ephgrave QPM, Director of the Serious Fraud Office, commented on the arrests, stating, "This company’s abrupt collapse has created turmoil and enormous anxiety for many, with elderly people forced to vacate their homes and investors left with nothing. Today’s arrests are a major development in our investigation and a step towards getting the answers so many people need."