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Tuesday 12 August 2014

Encarta Fine Wines Ltd into liquidation: frozen bank facilities blamed

Canary Wharf – getting a reputation for scams  

Yet another wine investment company, Encarta Fine Wines Ltd, has just gone into voluntary liquidation with sums due to creditors estimated at between £3.5 to £3.8 million. The creditors’ meeting was held today at the Marriott Hotel in Bexleyheath, London.

Encarta has around £1.7 million worth of stock held at London City Bond, which is estimated to realise about £1.3 million. The pay out to unsecured creditors is estimated to be in the region of 25p-30p in the pound.

Encarta was set up in July 2009 with 35-year-old Dean Doughty and 39-year-old Matthew Hart as directors.

The liquidator, Nedim Ailyan of Abbott Fielding, says that the directors have blamed the collapse on their bank, HSBC, freezing their banking facilities for four months.

Ailyan said: “Because of concerns about the level of commodity fraud I believe that the Financial Conduct Authority has been asking banks to investigate commodity asset investment companies that might have suspicious transactions. Although I have already seen this happen with companies selling other commodities, this is the first time this is said to have happened to a wine investment company.”

It is thought that Encarta’s banking facilities were frozen earlier this year and were then unfrozen once the four-month investigation was completed. It is not known whether Encarta continued to trade while their banking facilities were frozen .

(More to follow)


Abbott Fielding are currently handling the liquidation of several wine investment companies including Canary Wharf Vintners Ltd, which went into liquidation on 23rd July.

Formed in May 2006 the company changed its name from Strategic Land Acquisitions Ltd in September 2010 to Canary Wharf Vintners. The sole director is 55-year-old Enver Deen.

The deficit is thought to be less than £500,000 with only some 20 creditors. The major creditor is an elderly woman, who is owed some £200,000. She is believed to have been caught by a number of other wine investment firms and subjected to repeated hard-sales tactics.

Deen is currently offering wine investments as well as art, diamonds, land and metals through Belgravia Alternative Assets Ltd. He is the sole director.   


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