In proceedings commenced by the Financial Services Authority (FSA), the UK High Court ruled in December 2004 that Adrian Sam & Co (ASC) and John Martin, one of ASC’s two partners, were knowingly involved in the UK activities of an illegal overseas investment firm (a boiler room) and they were ordered to pay £360,000 (approximately $700,000) to 63 investors involved in the boiler room scam. A bankruptcy order was granted against John Martin in August 2006.

On March 29, Adrian Sam, the second partner in ASC was also made bankrupt by the court on the FSA’s application. The court found that the involvement of John Martin, Adrian Sam and ASC was an integral part of the illegal boiler room activity.