Business

Police investigate Crown Currency Exchange

Currency
Image caption Business and personal customers were able to pre-order foreign currency

The multi-million pound collapse of the Cornwall-based online foreign exchange company Crown Currency Exchange is being investigated by police.

The Hayle-based firm went into administration in October owing customers more than £16m.

Devon & Cornwall Police said it was investigating whether there was any"evidence of criminality".

Administrators said their investigations into the firm and its directors were also continuing.

A creditors' report detailing the collapse of the company revealed that 8,000 people had made claims totalling £16.5m.

The business, which was established six years ago, allowed individuals and business customers to pre-order foreign exchange at a set price up to a year in advance.

It provided money in 80 different currencies, as well as travellers' cheques and money transfers, sometimes for people to buy property.

When it collapsed at the start of October, customers were warned it could take up to six months before they heard if they would get any cash back.

The company was not covered by any Financial Services Authority compensation schemes.

Cases of lost money included couples planning honeymoons, surprise holidays and a Disney break for a youngster who had been suffering from cancer.

An action group has also been set up, representing about 2,000 creditors.

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