Sunday 19 September 2021

GlobalCapital Financial Management compensation claims originated under previous ownership

Global Capital plc refers to the Court of Appeal’s judgments of October 21 ordering GlobalCapital Financial Management Limited to pay compensation, in certain cases, to investors.

Without entering into the merits of each decision, which is dependent on the particular circumstances of each case, the Company expresses regret for any hardship experienced by those investors. The Company stresses that these cases related to a period between 2004-2009 when the Group was under different ownership and management.

Since its majority shareholding was acquired by Investar plc in 2016, GlobalCapital has, under its Chairman Paolo Catalfamo, completely restructured its corporate governance structure to ensure there can be no repeat of such instances.

Mr Catalfamo said: “Since taking over the Group, we have worked hard to turn it around: completely restructuring the management structure and registering profits for the first time in many years.

“GlobalCapital Financial Management Limited has made provision for payment of compensation in respect of those claims which were ruled upon by the Court of Appeal this week, so these decisions will have absolutely no impact on the financial standing of GlobalCapital Financial Management Ltd.

“Furthermore, the GlobalCapital Group moved out of structured financial products years ago and it is today a leading provider of life and health insurance policies. Thanks to the restructuring exercise we have instituted in the past few years, the Group is now on a solid footing to embark on further expansion.”

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