Three men have pleaded guilty to running a £70m pension investment fraud scheme, following an investigation from the Serious Fraud Office (SFO).

Matthew Pickard, Stephen Greenaway, and Paul Laver, all from Bournemouth, were convicted at Southwark Crown Court of fraudulent trading, ahead of an expected trial in February.

SFO’s investigation found that the directors defrauded around 3,000 investors in the UK of approximately £70m over seven years.

Operating from a call centre in Bournemouth, employees of Ethical Forestry Limited cold-called members of the public to offer them pension reviews.

Using false company names, such as Richmond Solutions and the Pension Report Service, without disclosing their real employer, caller handlers urged people with withdraw their pension savings from legitimate schemes and invest in tree planting in Costa Rica.

Although trees were planted, no money was assigned to maintaining or harvesting the trees, meaning investors’ money could never generate the promised returns from the harvest of the trees.

The money was instead used by the fraudsters to fund lavish lifestyles, with Greenaway buying a £1.9m home in Sandbanks, while Pickard bought a £4.3m property.

The defendants also amassed a collection of high-end sports cars and enjoyed luxury holidays.

Investor' funds totalling £2.77m were also diverted and used to administer a tax avoidance scheme for the directors’ benefit.

“These former directors preyed on people’s good intentions to support ‘green’ investment, stealing £70m from hard-earned life savings and pensions,” commented SFO director of operations, Emma Luxton.

“Our complex investigation exposed this fraudulent scheme and the strength of our evidence led to guilty pleas. This is an important step towards justice and compensation for the 3,000 victims.”

Solicitor General and MP for Lewisham West and East Dulwich, Ellie Reeves, added: “Fraud is a devastating crime that destroys lives and strips people of their hard-earned savings.

“Those who exploit the appeal of ethical investments to defraud from savers aren’t simply committing financial crime – they are betraying the trust of thousands of people planning for their futures.

“As Solicitor General, I am committed to supporting the SFO in tackling investment fraud and holding perpetrators to account.

“This conviction sends a clear message: the authorities will pursue those who prey on the public, regardless of how complex their schemes may be.”

The defendants are expected to be sentenced in May.

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