I had another look into this loan out of interest. From the awful Tripadvisor reviews that this restaurant has under its original name (F** A**** rather than A**** B** + R****** someone ingeniously posted the environmental health sheet as a photo, which states the company owning the restaurant (R** * Rest**nts Ltd).
Interestingly, on CH, one of the directors of said business is a Mr C***** K***** G****. His year and month of birth match an individual who was jailed for 4 counts of false accounting in 2012 and was given a custodial sentence of 3 years. In 2015 (funnily enough) a person with this name was appointed as a director of the firm. Searching against this director's stated address 1**-1**57 St **** street london, immediately reveals that this is a virtual address (with some negative associations as per many of the first page of google searches along with some interesting snippets). He also has a few 'colourful' pieces in the press from the time. Ironically and I very much doubt coincidentally, his profession now revolves around assisting clients in resolving commercial disputes....
This may well not be our applicant, but one of the other directors also has the same address listed. I am curious as to why the loan is for a 'sole trader' business given that the environmental health chaps registered their complaint against the aforementioned limited company stated as operating the business.
Now, I'm just some guy with a computer and a bit of spare time, but I've found quite a few things that ring big alarm bells. I don't expect to see a penny back (aside from the funds that were lodged with LC as per their comments, and they've now not mentioned again..), but I don't feel like we're seeing even half the real picture of what went on here and I'd really like some further information lendingcrowd
As a side note, I had a feeling that the bit about one of the people involved now operating as a consultant for 'specialist business advice' (shall we call it) rang a bell, and it looks like a very similar situation arose on the "* * * M********** Ltd" thread. It does make me wonder again about the DD practices of LendingCrowd.
If this guy really did start the F**** B***** bar as he asserted in his pitch (and that may be a big if) then it is fairly easy to find his "real" name and that of his erstwhile business partner who now runs the bar that appears to have evolved from FB.
Post by Butch Cassidy on Oct 17, 2018 10:35:29 GMT
It is clearly unacceptable for ANY platform to list potentially fraudulent (on the evidence available to lenders so far) applications then to just walk away after 2 years of ZERO recovery with the excuse that the borrower is too difficult to trace, especially when it appears a simple google search can identify strong potential leads as to not only his true identity but also associated business interests. The one thing that FC does well is to chase errant borrowers with sufficient resources & multiple approaches to ensure either recovery or financial exhaustion of the guarantors.
lendingcrowd need to reassess their approach to defaults & the resources that they are willing to commit to resolving them, as this current example is a perfect illustration of how not to do it & will result in total loss of lender confidence in the platform's integrity. Lenders will accept genuine default losses if they believe that all reasonable steps have been taken to attempt recovery but not if it appears they have been simply taken for fools. I am satisfied initial platform DD has significantly improved over the last couple of years now recovery performance needs to catch up to meet those higher standards.
This is all to similar to the London Solicitors fiasco mentioned in an earlier thread. In that case the loan was approved and funds raised several weeks AFTER HMRC had petitioned the company for bankruptcy. They posted the loan with an A+ rating. It defaulted after a single payment. I complained about this and asked why they were not reporting the borrowers for obvious fraud. What type of accounts would a bankrupt company present to LC to support the loan? I got nowhere and a subsequent complaint to the ombudsman had a similar result. I have withdrawn everything I could from the platform.