Disgraced former fund manager Neil Woodford will be named in a fresh lawsuit this week as investors look to recoup losses following the collapse of his eponymous equity fund three years ago.
The law firm Harcus Parker is preparing to submit a class action to the High Court on Friday on behalf of 1,500 people looking to claim £18m, as investors mark the three year anniversary of the sudden freeze of the Woodford Equity Income fund.
Former star stock-picker Woodford was plunged into ignominy in 2019 when his fund, which at one stage managed more than £10bn, faltered and faced an investor exodus.
The fund was suspended by managing company Link Fund Solutions without any warning to investors after its value had plunged to around £3.7bn, the Times reported.
Investors have been ramping up pressure to recoup their lost cash in recent weeks as the three-year anniversary approaches. Around 30 people marched from the Royal Courts of Justice to parliament last week with campaign group Transparency Task Force, demanding an overhaul of the City watchdog the Financial Conduct Authority.
The regulator is currently investigating the collapse of the fund but has so far not delivered action.
“We recognise the time taken to investigate causes frustration among those affected by a firm or fund failure and who are, understandably, looking for answers,” the FCA said.
“It is vital we investigate thoroughly and that is what we are doing. We continue to make progress on the case and will provide an update when we are able.”
Neil Woodford could not immediately be reached for comment.