In a devastating turn of events, the collapse of a pre-paid funeral firm in the UK has left tens of thousands of people out of pocket. The Serious Fraud Office (SFO) has charged two men, Richard Wells and Neil Debenham, with conspiracy to defraud in connection with the failure of Safe Hands, a company that marketed peace of mind to vulnerable customers.
According to Emma Luxton, the director of operations at the SFO, the scheme “marketed peace of mind to tens of thousands of people, many of them vulnerable.” However, when Safe Hands went bust in 2022, the promise of financial security evaporated, leaving plan holders exposed, out of pocket, and uncertain about their funeral arrangements.
The charges against Wells and Debenham mark a critical step in the SFO’s investigation into potential fraud at Safe Hands and its parent company, SHP Capital Holdings. Wells, a former director of SHP Capital, and Debenham, a senior executive at the business, are accused of conspiring to defraud the company’s customers.
The collapse of Safe Hands occurred in the months leading up to the implementation of new regulations in 2022, which required firms offering pre-paid funeral plans to secure approval from the Financial Conduct Authority. The SFO’s investigation, launched in 2023, revealed that Safe Hands had failed to obtain the necessary regulatory approval for the ongoing sale of its plans, leading to its demise.
The impact of the Safe Hands collapse has been devastating, with around 46,000 customers losing the money they had saved to pay for their own funerals. The administrators of the company stated that they were unable to cover the funeral costs of these customers, leaving them in a precarious financial situation during a time of grief and uncertainty.
The charges against Wells and Debenham represent a significant step in the SFO’s efforts to hold those responsible for the Safe Hands collapse accountable. As the case proceeds, it is crucial that the justice system provides a fair and transparent process to ensure that the victims of this fraud receive the justice and compensation they deserve.
