Three companies in Essex that mis-sold undeveloped land for investment to the public have been ordered into liquidation in the High Court on grounds of public interest following an investigation by Company Investigations (CI) of the Insolvency Service.

The investigation found that Theydon Land Developments Limited, Emerging Property Partnership Limited and Franklin Knight Ltd had mis-sold small, residential-sized plots of undeveloped land at sites in Theydon Bois, Essex to the public.

The investigation found that the three companies were linked to 11 other landbanking companies which had already been wound up six of these companies were wound up in June 2011 and five in March 2010.

Theydon Land Developments Limited bought two sites in Theydon Bois in March and August 2010 for £68,000. The company then sold 66 plots to investors for £388,452,between March 2011 and April 2011 through its agents, including Franklin Knight Ltd.

Emerging Property Partnership Limited sold plots at a site in Theydon Bois prior to being struck off the Register of Companies and dissolved on 19 October 2010.

The director of Franklin Knight Ltd was Miss Manjit Kaur Minhas who had also been the director of Alpha Capital Investments (London) Limited, one of the land banking companies already wound up.

Chris Mayhew, company investigations supervisor, said: “It is appalling that unscrupulous land banking operators are continuing to prey on innocent members of the public and must be stopped. Our message to these crooks is quite a clear: we will investigate you and close you down.”””