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  #21  
Old 24-09-2012, 03:50 PM
frustrated
 
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Default That Fund

Am an large invester in this fund and was advised by a senior aib official to borrow in yen so as to avoid fx exposure.Aib are denying such advice was given but can produce no evidence to back their claim.

Was not aware of this forum, would somebody kindly forward me contact
details of the Cork Solicitor.
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  #22  
Old 27-09-2012, 06:03 PM
Dodgy banker Dodgy banker is offline
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"Frustrated"
My email address is dodgybanker@yahoo.com ,if you email me ill send you on all the details , for some reason I can't private message on this site
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  #23  
Old 30-10-2012, 10:05 AM
Broadcast
 
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Hi I am another of the Alpha funders. Would someone please give me the number of the solicitor in Cork. Thanks in advance
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  #24  
Old 05-11-2012, 09:30 AM
crusher
 
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Default Alpha Japan

If anyone was at the Launch Meeting in the Burlington Hotel on 14th March 2007 please let me know. My email is alphajapyen@gmail.com. I need to find as many witnesses to this meeting as possible to support my case.

Please contact me also if you require contact details for the solicitor in Cork. There are a number of other solicitors and accountants dealing with individual cases. I would need clearance from them to release their details.
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  #25  
Old 20-11-2012, 05:15 PM
ABank ABank is offline
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The recent ACC/Rabo bank case has many overlaps with the AIB Alpha Japan Fund

1. it involves multiple investors
2. it relates to an investment product
3. investors were encouraged to invest monies quickly in order to participate in the high expected returns
4. targeted their own high net worth customers
5. most of the investors were encouraged to take out loans from ACC to fund the investment
6. ACC like AIB used the defence that the investment and loan were not sold as part of a package
7. Investors were not advised that taking out a loan to invest increased the risk of the investment. Alpha Japan investors were misled as tehy were told that whilst the property investment was high risk, funding it via a yen loan actually reduced the risk, as currency exposure was minimised.
8. ACC also appear to have failed to implement central bank 2004 guidelines regarding investor product diversification. Asking Alpha Invostors to waive Fact find prior to investment appears to have been deliberate.

ACC has agreed a settlement with the investors who have instituted litigation against the company, and the Central Bank is currently reviewing the situation in respect of investors who were not party to the legal proceedings.
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  #26  
Old 21-11-2012, 10:18 AM
ABank ABank is offline
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Irish Examiner 21 Nov front page

Conor Keane has written a front page piece today on the misselling of the Alpha Japan Fund
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  #27  
Old 29-12-2012, 11:27 AM
Greco
 
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Hi All - Be very careful here here as there seems to be a lot of loose talk going around about the chances of getting your money back from AIB - I lost money on the ACC Solid World Bond and after a costly legal battle (everyone coughed up to cover the legal costs of the lead cases) a very very small proportion of the money lost was recovered - the lawyers made us all sign a Confidentiality Agreement not surprisingly and all I can say is that it was hardly worth while in the end and certaily not worth the risks of being left carry huge legal bills all round if we lost - I am doing some further research in to the Alpha Fund at the moment and will report again shortly
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  #28  
Old 29-12-2012, 01:24 PM
Brendan Burgess Brendan Burgess is offline
 
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Hi Greco

You have posted elsewhere that you worked in the pensions industry.

With a professional background like that, how come you invested in the ACC Solid World Bond?

Brendan
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  #29  
Old 03-01-2013, 12:51 PM
Greco
 
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Hi Brendan - thanks for reminding me!!!!!!! - all of these so called "investment products" seemed like a good idea at the time - at least I have a bit more time these days to read the small print myself
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  #30  
Old 28-01-2013, 04:55 PM
ABank ABank is offline
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Hi Greco

Thanks for your advice. It is really difficult to prove that we were told that this was a yen investment product and that we should borrow in yen. If you find out anything about the fund that would be of assistance please post this as the solicitor in Cork now has approx 70 clients.
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  #31  
Old 10-02-2013, 06:56 PM
japalpha japalpha is offline
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Hi all,
My story is very similar to all the above. The Private Banking wing of AIB were responsible for the sale of the bond & on their advise I borrowed to invest. My story is a bit different in so far as my recollection is that I requested the loan in Euro however I got a sanction in Yen... At the time I thought it strange however the Wealth Manager said that all her clients were doing it in that manner. I have contacted Michael Powell Solrs in Cork & am now one of 100 clients - I paid a fee of 250. This week I got a letter from Sols seeking additional funds to progress the case and advising that there may be a large legal bill if we loose...
Has anyone experience of a class action case like this and if so is this normal?

From watching Erin Brockovich I thought the solicitor carried some of this risk??
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  #32  
Old 10-02-2013, 07:00 PM
Brendan Burgess Brendan Burgess is offline
 
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There are no class actions in Ireland.

What contract did you get from the solicitor when you paid your original €250?

Who do you expect to pay AIB's costs if you lose?

A case against ACC was settled for very small money and those receiving settlements all got bills for additional costs from the solicitors. You can read about it here.
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  #33  
Old 13-02-2013, 03:57 PM
japalpha japalpha is offline
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Default Solicitors contract

Hi Brendan

The contract seems to be your basic Solr/client contract authorising the solr to act on my behalf, to pursue the matter in accordance with my instructions, to take such actions necessary to process matters & for me not to terminate same without paying him. In the recent letter he advises that he has now attended to over 100 people re the fund & each case will proceed individually however he advises that it is possible in the future a global offer of settlement may be made on the basis that everyone will accept it, at which stage the solr reserves the right to give global advice on a typical case.

Having looked at the thread re ACC & not knowing the facts of the matter it is debatable if pursuing the case is advisable given the additional financial risks involved..
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  #34  
Old 19-02-2013, 09:09 AM
ABank ABank is offline
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Hi,

Have you considered making a complaint to the ombudsman?
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  #35  
Old 22-02-2013, 06:34 PM
japalpha japalpha is offline
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I thought about it but havn't progressed anything. My issue is not in fact the performance of the bond - if more money had been invested in Japan on a geared basis our losses would have been much greater - thank God for small mercies.. My issue is that I sought a Euro Loan to invest in the fund. I received a Yen sanction. I feel that the sanctioning committee was getting a lot of requests for Jap Yen loans for this... the interest rate was attractive at the time. I remember discussing this with the Private Banking Manager at the time & was advised that this was the best way to progress matters however I think the PB Manager was as surprised as everyone else when the fund was in Euro.The Yen loan was to minimise exchange rate risk and this turned out to have the opposite effect & in fact this is where the majority of my losses occurred & this risk remains. If anyone has any experience of the Ombudsman in cases of this nature i would welcome any observations.

Last edited by japalpha; 22-02-2013 at 06:50 PM. Reason: More specific info
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  #36  
Old 22-02-2013, 06:57 PM
Brendan Burgess Brendan Burgess is offline
 
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Where you have 100 cases which are essentially similar, you are better off going to the High Court than the Ombudsman.

When the High Court rules in one case, it will set a precedent which could be used in the later cases.

However, whichever side loses in the High Court, will, presumably take it to the Supreme Court.

If AIB wins in the High Court, and the plaintiff appeals, there is a very good chance that AIB will settle the case so that the Supreme Court appeal is withdrawn. In that case, you will have an unhelpful precedent in place.

I am sure that Michael Powell has discussed this at length with you and has explained how they will make sure that a favourable ruling can be used to best advantage by those following.

If the Ombudsman finds in one case, it just has no bearing at all on the other cases.

The big advantage of the Ombudsman is that it is free.

I had a look at the submissions made in one case, and I couldn't see that AIB had any case to answer. That is not to say that you don't have a case. But if your case is a bit of a flyer, the Ombudsman is the place for it. It will cost you nothing if you lose.
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  #37  
Old 28-02-2013, 04:17 PM
ABank ABank is offline
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Can you prove that you actually requested a euro loan, was it in writing?. We were told the exact same thing as you, that borrowing in yen reduced the investment risk and provided a currency hedge. However, AIB now deny this conversation ever took place and say that we requested a yen loan. The difficulty is that the loan agreement that we all signed has a clause to say that we accepted the risk and were not canvassed etc. In my opinion this product was missold but as we do not have a tape of the sales presentation and as they have our signatures agreeing to take out the loan it comes down to who the FSO or the High Court judge will believe.
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  #38  
Old 04-03-2013, 08:11 PM
Dodgy banker Dodgy banker is offline
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Quote:
Originally Posted by japalpha View Post
I thought about it but havn't progressed anything. My issue is not in fact the performance of the bond - if more money had been invested in Japan on a geared basis our losses would have been much greater - thank God for small mercies.. My issue is that I sought a Euro Loan to invest in the fund. I received a Yen sanction. I feel that the sanctioning committee was getting a lot of requests for Jap Yen loans for this... the interest rate was attractive at the time. I remember discussing this with the Private Banking Manager at the time & was advised that this was the best way to progress matters however I think the PB Manager was as surprised as everyone else when the fund was in Euro.The Yen loan was to minimise exchange rate risk and this turned out to have the opposite effect & in fact this is where the majority of my losses occurred & this risk remains. If anyone has any experience of the Ombudsman in cases of this nature i would welcome any observations.

I'm in the same situation as yourself, I requested a euro loan and ended with a yen loan, I thought long and hard about going to the ombudsman but was advised against it by several people who have represented people in cases to the ombudsman ,they found it most frustrating drawn out process of endless communication over and back and in the end extremely ineffective and toothless,I'm after signing up with Powell solicitors they assure me I have a good case and I will not be exposed to large legal costs
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  #39  
Old 10-03-2014, 04:49 PM
ABank ABank is offline
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Has the solicitor made any progress or have AIB made any settlement with anyone?
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  #40  
Old 17-09-2014, 09:32 AM
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Just seen this post. Good to see people standing up to AIB on this.

My case is more clear cut, I feel. I did not need or ask for a loan as I was a cash investor. I paid cash but my AIB Manager advised me to take out a 'back to back' loan in Yen to cover currency risk. On his advice I did a 'back to back' loan, (i.e. my euro payment was deposited at AIB and a corresponding Yen loan was created) to reduce the currency risk.
I was surprised to later find that the fund was denominated in euros and the fund held euros in cash for a long time while the currency collapsed exacerbating the problem for investors. The manager’s advice had actually created the currency risk and locked in a loss in the underlying investment.

I believe this is as clear a case of mis-selling as you get. Why would anyone create a currency risk? It appears from my own experience and reading the posts and comments online that the AIB managers messed up and thought this product was in Yen and thought they were selling a Yen fund when in fact it was a Euro fund. They were also perhaps blinded by the extra fees they would earn in arranging currency loans.

I wrote to AIB in 2011 for an explanation when I became aware that the Fund was not as advised and after some time AIB replied saying nothing was untoward and they had not heard of any issue from anyone.

Last year when I saw the press article, I rang the solicitor in Cork and gave him my details but I have never heard anything back.

Anyway I would be grateful to know if anyone has heard of any developments. I am looking to write to AIB again to get this resolved so any input at all would be appreciated.
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