Allegations galore as Avocet share inquiry continues

by DOUGLAS SHEPHERD

The joint liquidator of the company formerly known as Avocet Infinite PLC has issued a new appeal for information about the status of the insolvent business's 22 million shares amid claims of conflicting documentation.

A letter to shareholders of the renamed Omega Infinite Ltd. from Ashleigh Fletcher, of insolvency practitioners Begbies Traynor has been circulated while Avocet Group chairman Martin Frost told 'Infinite' shareholders at the weekend that a £1 share in the firm had increased in value by a thousand per cent over a four year period.

A year ago, in March 2020, the court granted a winding up Order against Omega Infinite following a petition by London law firm Fieldfisher. That petition was supported by counsel for Avocet subsidiary Orrdone Farms Ltd. (in administration), a creditor of the Omega business.

On Saturday a notice appeared on the Companies House website confirming the appointment of liquidators Mr Fletcher and Joanne Hammond on April 28th 2020.

Mr Fletcher's latest letter dated March 30th 2021 has gone to 'all known shareholders' and is marked 'Please Do Not Ignore'. It follows previous correspondence from Omega's joint liquidator in December.

Investors are told: "As mentioned in the letter (of last December) we have been informed that there is a number of shares in the company that are not fully paid despite share certificates (and supplementary documentation) stating otherwise.

"Accordingly, in order to avoid any discrepancies and to act in the best interests of the company's creditors, I am obliged to duly investigate the shareholders' position and update the company's records".

Those contacted by Mr Fletcher are urged to respond by April 22nd. It has been estimated the Infinite company has some 650 shareholders holding a total of 22 million shares.

A concerned investor who contacted Not Just Sheep & Rugby commented: "Usually it’s a very simple process. You just look at the confirmation statement, and at any changes that have occurred since the last one was issued. These can be found in the share registry which the company by law is required to keep, and make available to the shareholders and, in this case, the liquidator. What can possibly have gone wrong?"

Mr Frost revealed in a letter to shareholders last year that Omega Infinite's trade creditors were owed some £2.5 million "on top of which there are private Avocet controlled loans in excess of £10 million".

The Avocet chairman has also claimed on two occasions that funds would be put in place so that all creditors would be paid and Omega Infinite (in compulsory liquidation) was to be restored to the companies register.

Last August he wrote following a meeting with Mr Fletcher: "From Dr. Bob Jennings [a fellow Avocet director] and my perspective the main purpose of the Friday meeting was to agree a procedure and methodology of how Omega Infinite Plc could be restored to the Company House Registrar and thereby to set down a procedure which would provide maximum cash benefit to Omega Infinite Plc shareholders.

"Initially, there was a general agreement that the £3 million cash I had secured from Frost family and colleagues would be sufficient to settle Begbies fees along with all necessary creditor payments and statutory interest. Indeed, at first, Mr. Ashleigh Fletcher (liquidator of Omega) got down to basics and the discussion moved to the timing of the £3m transfer to Begbies and how soon thereafter all necessary payments might be made to restore Omega to the Registrar. 

"After a very convivial lunch, I agreed on behalf of Avocet to provide Begbies with some further corporate security plus as much assistance as possible to perform their complex tasks."

Then, in October, Mr Frost declared that new investors in the avocet green fuel concept would be providing the necessary funds to pay off Omega's debts.

In a wide ranging shareholder letter sent out yesterday Mr Frost outlined the values of Avocet Infinite, Avocet Natural Capital and Gennfros Ltd., a recently formed firm with both he and Mr Jennings as life presidents.

According to Mr Frost: "Publicly in December 2018, Avocet Infinite Plc because of its intellectual property was perceived to be worth by willing buyers some £200 to £300 million (or some £10 per ordinary share) – thus from inception to 4 years old, an ordinary one-pound Avocet Infinite Plc share had increased in value by some 1,000%.

" In April 2021, ANC Plc because of its 100% owned subsidiary ‘Avocet IP Limited’ is perceived to be worth (by willing buyers) some £150 to £250 million.

"In April 2021 Gennfros Limited because of its new intellectual property is perceived to be worth (by willing buyers) some £150 to £300 million."

So, despite the Orrdone Farms Limited debacle (Mr Frost claims the failed venture cost £12 million) an investor from 2015 could now expect a capital return of between £12 and £22 for each pound invested.

Mr Frost also quotes Stuart Lucas, of the Asset Match shares trading platform: "Notwithstanding the turmoil, Avocet is my best investment, Ever!".