Seventy Ninth Group has issued a statement updating clients on its activities in the wake of the investigation by the City of London police.
This comes amid mounting concerns among investors across the jurisdictions where the group has clients, including the UAE region which it entered in 2022.
The statement, received by International Adviser today (10 April), said: “As a business we have ceased taking any new funds by way of our Loan Note offerings and have asked for a moratorium on payments to Clients.
“The aim of this moratorium is to establish an effective plan to develop, with our strategic partners, all of the ongoing and future projects we have in the asset portfolio.
“It is our strong intention to complete these projects, we have instructed leading experts in all jurisdictions, to assist with the restructure plan.
The statement continued: “Despite proactively moving forward, we are extremely sad to say that as part of this plan will involve the rationalisation of our operating expenses. As a result there will be job losses across the Group, primarily focussed around Departments that dealt with the Loan Note products but will inevitably have a wider impact across all colleagues.
“We appreciate that this is a deeply unsettling time for both our colleagues and clients however these steps have been taken to ensure that the business survives and looks to deliver on its obligations.
The statement concluded: “We hope to be able to provide a further update once our external providers have assessed the restructure plan. If Clients have any questions we would ask that they direct them to our Client Services Team at [email protected]”.
