- The UK government’s Insolvency Service has shut down a London-based crypto advisory firm, Amey Finance Academy Ltd, following allegations of investor losses and accounting neglect.
- The firm’s sole owner, Desmond Amey, had previously assured customers that their cryptocurrency investments were safe, but customers allegedly lost money in their investments.
- The Financial Conduct Authority (FCA) identified Amey Finance Academy as an unauthorized provider of financial services or products in the UK.
Amey Finance Academy, a UK-based crypto advisory firm, has been shut down over allegations of investor losses and accounting neglect. The firm’s owner, Desmond Amey, is accused of making false promises to customers about the safety of their investments.
Allegations of False Promises
Established in December 2018, Amey Finance Academy advertised itself on social media as a leading independent consultancy providing a range of financial services. The firm also claimed to operate a leading education academy within the industry. However, Amey allegedly made false assurances to customers, guaranteeing that their investments would not fall below 90%. In WhatsApp messages reviewed by investigators, Amey assured another customer that the investments were “100 certy” and urged them to “trust me bro.”
Investigation Reveals Deceptive Practices
Further investigation into the firm’s practices revealed that Amey had posted a video on YouTube suggesting that the office still maintained a presence at 1 Canada Square in Canary Wharf, London. However, he had actually been evicted earlier that year due to non-payment of rent. The Insolvency Service’s chief investigator, Mark George, stated that the service couldn’t determine the company’s full activities, assets, or liabilities due to insufficient accounting records and lack of transparency.
UK’s Crackdown on Crypto Scams
This case is part of a larger crackdown on cryptocurrency scams in the UK. Earlier this year, the UK’s National Fraud Intelligence Bureau (NFIB) took down 43 websites suspected of crypto phishing scams. The NFIB’s investigation uncovered a fake email address designed to trick Blockchain.com customers, aiming to exploit security weaknesses and steal cryptocurrency.
Conclusion
The shutdown of Amey Finance Academy serves as a stark reminder of the risks associated with cryptocurrency investments and the importance of due diligence. As the UK government continues to crack down on crypto scams, investors are urged to be cautious and ensure they are dealing with authorized providers of financial services.
