Asset Recovery Network UK is a recovery room scam. This means that it is brought in after the main scam has been exposed and it pretends to be able to recover some or all of a person’s investment. The truth is that it is part of a follow-up scam and it’s sole aim is to trick investors into paying more money.
Recovery room scams tend to focus on persuading investors that their worthless investment has suddenly become a desirable asset and they have found a serious buyer who wants to buy the investment. There is never a buyer for the investment.
The investor is sold a story about this mysterious buyer wanting to pay top dollar for the investment but there is just one problem. Before he can complete on the purchase he needs the investor to pay either the sales commission or the due diligence fees or the tax bill or the admin bill or the legal bill or the platform listing bill or anything else they can think up. Quite often the investor is asked for a small sum which he/she is happy to pay. Then they are asked to pay another sum and then another sum and then another sum and so on. Once the investor pays the first sum they are on the hook and keep paying because they don’t want to lose what they’ve paid. The reality is that they lost it the moment they paid over the money. Each time the payment keeps increasing with larger and larger sums being asked for. One of our clients invested £30,000 in a scam investment. He was approached by a recovery room scam in which the company told him they had a buyer. He would only have to pay £700. He paid them. By the time he made contact with us he had paid over £28,000 to the recovery room scam. They were now asking for £14,000 for the next instalment stating that if he didn’t pay he would lose the money he had already paid. Fortunately we stopped him making that £14,000 payment but we were too late to stop the £28,000.
Other recovery room scammers known to us include:
Cordell Groves, Phipps Clarke Grainger, PV-Merge, Barola Asset Management, and NLC Partners.
Asset Recovery Network UK has an unusual twist on the recovery room scam model. They pretend to be Insolvency Practitioners i.e the liquidators of the scam investment company.
The original scam company pretends to have placed itself in liquidation and to have appointed Asset Recovery Network UK to handle the liquidation. ARN UK will apparently sell all the assets of the scam company (which are normally a big fat zero) and pay out the proceeds to investors. Asset Recovery Network UK is apparently able to turn worthless assets into solid gold. According to ARN UK, they will be able to sell the assets and pay everyone back with a huge profit. There is just one problem…….. investors will have to pay something upfront first. It doesn’t matter what reason they give you for needing your money – IT IS A SCAM.
If you pay them you will never see your money again.