Financial advice costs Whitley Bay man £1m

28/11/2011

A Whitley Bay man who attracted investors and companies using a ‘robot-powered’ investment website has been ordered to pay back almost £1m after pleading guilty to providing unregulated financial advice in Newcastle Crown Court today.

Alexander John Hunter, 21, was ordered to pay back £986,508.54 after he admitted setting up the company Global Marketing Corporation which, through its doublingstocks.com website, attracted a number of paying subscribers over a three year period. The website claimed to provide investment advice generated by a share picking robot named Marl.

Hunter was also sentenced to 12months imprisonment suspended for 2 years, 200 hours of unpaid work and £3,000.00 costs.

Since starting the site the company had received payments from subscribers and promoters in excess of £1.5m. 

CPS North East dealt with the case from the outset; advising police to charge Hunter and making the restraint application which ultimately meant that Hunter had to forfeit the money he made from the site. 

A CPS spokesman said "It took some time to bring Hunter to justice but ultimately he has had to pay for the crime he committed.  This type of offence is sometimes called 'White Collar' crime but in fact it is no different to any other crime.  Hunter broke the law and is now being made to pay for of his actions."