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West One ID fraud trial date set for 2013

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  • 13/11/2012
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West One ID fraud trial date set for 2013
An investor into West One Loans who lost £235,000 after an ID fraudster conned the cash out of the bridging lender has secured a trial date for early in the new year to settle liability for the cash.

The investor and entrepreneur Nick Clarke appointed law firm Mishcon de Reya last year to pursue his claim West One Loans acted in breach of contract by failing to obtain security on a Fulham property before inadvertently lending Clarke’s money to a fraudster.

Mishcon de Reya said this case “serves as a warning to current and future investors in bridging loan finance, as well as advisers responsible for recommending such investments.”

The fraud was finally uncovered by HM Land Registry, which spotted a signature did not match its previous records.

The fraudster managed to secure a bridging loan for a higher amount of £570,000 from West One after falsely claiming to be Massimo Barbini, the registered owner of a £950,000 property at 88 Gowan Avenue in Fulham.

Short-term lender and defendant, West One, denies all allegations, claiming that the agreement with the investor included an exclusion clause absolving them of liability in such circumstances.

After his introduction to West One in April 2011, Clarke argues the defendant owed him a ‘duty of care’ including obtaining valid security for the loan and the true identity and address of the borrower.

West One was unavailable to comment.

Mishcon de Reya, Nick Clarke’s legal firm, is seeking the return of the £235,000 cash, the interest it claimed was “contractually agreed” and court costs.

Nick Clarke said: “As far as I was concerned, I was sold this investment on the basis that the loan would be secured. Had I thought that West One were not guaranteeing that this would be the case, I would never have invested.
I am very disappointed with West One’s conduct as described above and felt I had no alternative but to pursue this matter through the courts.”

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