In a case against four people, the Pensions Regulator has for the first time obtained an order from the High Court to make the defendants repay the funds taken from their victims.
David Austin, Susan Dalton, Alan Barratt and Julian Hanson defrauded 245 people, persuading them via cold-calling and similar techniques to transfer their pension savings into one of 11 scam schemes operated by Friendly Pensions Limited.
The victims were told that by transferring their pots they could receive a tax-free payment described as a 'commission rebate' from the investments of the scheme.
The defendants spent the pensions money on luxury items and holidays, the regulator said.
Professional trustee company Dalriada was appointed by the regulator to take over the running of the scheme and will now attempt to "recover at least some of the money that these corrupt people took", according to the regulator.
