Baron Rothschild finally answers Spain judge over alleged expat fraud

The multi-millionaire banking scion has denied any knowledge of the complex case that saw over 100 mostly British pensioners lose millions in an equity release scheme

LAST UPDATED: 28 Jan, 2017 @ 11:27
4
SHARE

Baron Rothschild
Baron Rothschild

BARON David de Rothschild has answered questions in relation to an expat fraud case in Spain.

The multi-millionaire banking scion has denied any knowledge of the complex case that saw over 100 mostly British pensioners lose millions in an equity release scheme.

It has just been revealed that he has replied in writing to a court in Alicante over  NMR Rothschild’s alleged involvement in the mis-selling of €70 million worth of Credit Select Series Mortgage Loans.

It comes after Marbella lawyer Antonio Flores helped dozens of British pensioners mount a class action against the Rothschild enterprise.

They believe that it misleadingly led them to invest in the product, which was billed as a legal way to evade Spanish inheritance tax.

But it in fact put them in danger of losing their houses.

In a 17-page response sent by the French aristocrat to the court, Rothschild insisted that he ‘did not know’ about the product, which was sold to some 130 parties with mortgages worth around €600,000.

“I was not personally involved in the contracts”, he wrote in French.

“I have been told from NMR (NMR Rothschilds & Sons) that it has never proposed investment funds linked to the contracts of those loans.”

Rothschild insisted loans were given to “individuals who had a property that was not subject to any mortgage, who claimed to have other assets and who were expatriates but that mortgage was never to reduce the inheritance tax.”

He also denied ‘personally’ knowing Stephen Dewsnip, who was named as one of the main players in the scheme in Spain.

Lawyer Flores, who has been working on the case since 2015, has refuted Rothschild’s testimony.

“I find it shocking that the man who’s a boss in a bank doesn’t know about what was going on with one of his companies in Spain or anything about the product that was being sold there”, he said.

“It’s just not believable to me.

“The document now has to be officially translated into Spanish for the court before judges there can read his reply.

“They will then decide whether to press ahead with the charge and conduct a proper trial or drop the matter.”

The Rothschild group today insisted to the Olive Press that the Baron had ‘no personal involvement’ in the case.

“At the request of the Spanish authorities, and in accordance with standard disclosure requirements, Baron David de Rothschild provided information to the French authorities in relation Rothschild’s Spanish mortgage book. At no time has Baron David de Rothschild had any personal involvement in the provision of mortgages in Spain.”

A spokesman added: “Rothschild provided a small number of mortgages that were secured on properties in Spain. The money was used by the customers to fund their own investments. The customers were separately advised on their investments by independent financial advisers. Rothschild is not responsible for that investment advice, and has at all times acted in compliance with its legal and regulatory obligations.”

4 COMMENTS

The Olive Press are not responsible and do not moderate individual comments before they are posted. Anyone who uses racist, sexist, homophobic or xenophobic language or hate speech will be blocked.
  1. Going after the Rothshild’s Its like fighting the weather, you cannot change it or get justice… They can get away with murder in broad daylight with all the witnesses in the world.. wanna know why? Because they control the monetary system. “Give me control of a nation’s money and I care not who makes it’s laws” — Mayer Amschel Bauer Rothschild

  2. Rulers of the (financial) world are usually impregnable but some facts can be clarified.

    The “financial advisers” referred to were nothing of the kind, they were a collection of unqualified, unregistered and unregulated companies and individuals operating illegally in Spain who were notorious for mishandling the life time savings of pensioners by selling them risky and bogus financial products – products which again were also unregistered and unregulated in Spain.

    Credit Select and the Premier Group (based in the Isle of Man) devised the “equity release scheme” and NMR Rothschilds & Sons elected to provide mortgages for the scheme which was then made available to the unlicensed individuals. The scheme was later ruled illegal by a Spanish Court.

    All those participating in the scheme benefited from receiving the accompanying commissions and charges – and although Rothschild admit that they provided the mortgages they also claim that this was the full extent of their involvement and deny any connection with the persons implicated in selling the illegal scheme and/or recommending any of the the floundering and inept funds which devastated the capital released by the mortgages… which in turn placed people’s homes at risk.

    The moral of this episode is; when becoming involved at any level with illegal operations (conducted from assorted jurisdictions, including the UK, Guernsey, the Isle of Man and Spain) there is always a danger of being dragged into taking some of the accompanying responsibility.

  3. The rulers of the (financial) world maybe impregnable but some facts can be clarified.

    The “financial advisers” referred to were nothing of the kind, they were a collection of unqualified, unregistered and unregulated companies and individuals operating illegally in Spain who were notorious for mishandling the life time savings of pensioners by selling them risky and bogus financial products – products which again were unregistered and unregulated in Spain.

    Credit Select and the Premier Group (based in the Isle of Man) devised the “equity release scheme” and NMR Rothschilds & Sons elected to provide mortgages for the scheme which was then made available to the unlicensed individuals. The scheme was later ruled illegal by a Spanish Court

    All those participating in the scheme benefited from receiving the accompanying commissions and charges – and although Rothschild admit that they provided the mortgages they also claim that this was the full extent of their involvement and deny any connection with the persons implicated in selling the illegal scheme and/or the floundering and inept funds which devastated the capital released by the mortgages… which in turn placed people’s homes at risk.

    The moral of this episode is; when becoming involved at any level with illegal operations (conducted from assorted jurisdictions, including the UK, Guernsey, the Isle of Man and Spain) there is always a danger of being dragged into taking some of the accompanying responsibility.

  4. Well. It’s all lies of course, the Rothschild family have no scruples regarding the historically dubious methods. But in this case NM Rothschild actually produced the whole product themselves, – the funds, the legitimate inheritance tax mitigation advantages claim, and the sole investment vehicle that they allowed. All of this is in print in their 2006 promotion brochure.

    So it can be shown absolutely what the lawyers are alleging, with irrefutable evidence in paper from their own hands.

HAVE YOUR SAY...