EDEN-Redruth Investment - Executive Summary
In June/July 2018, Eden Land Planning Ltd. raised £2.24 million from 22 investors on the strength of a prospectus document called the Investors Presentation. The Investors Presentation falsely stated that the Acquisition Costs were £2.2 million. Eden used only two-thirds of the investment fund to buy land, completing the purchase in July 2018. Eden and their lawyer, ELS Legal, led the investors to believe that the entire fund (except 2% fees) was applied to the acquisition of land at Redruth, Cornwall. The effect of grossly inflating the stated acquisition costs was to make available to Eden nearly one-third of the investment fund without the investors' knowledge (Best estimate, £661,750). The investors were never informed of the true acquisition costs, nor the true purchase price, nor (of course) the large uninvested surplus. Two months later, through ELS Legal, Eden issued a Shareholders' Agreement for signature. Eden appears to believe this document retrospectively justifi