Two companies and six individuals have accused a financial management company of abusing their lack of knowledge of the industry causing them to lose investments totalling €212,000.

Micallef Falzon Stellini Pace Financial Management Ltd is facing renewed accusations of negligence when handling clients’ savings, with investors claiming in a judicial protest it had sold them services unsuitable for retail clients.

The judicial protest was filed by Gennaro Camilleri, Genick Company Ltd, Giulio Camilleri, Joseph Camilleri and his wife Romina, Paul Camilleri and his wife Anna Maria and Marketing and Consultancy Ltd. The investors say the company failed to carry out a basic due diligence exercise on the fund in which it was investing their money in the British Virgin Islands.

They said it put their money in high-risk investments when it knew they only qualified as retail clients and was aware the products were not suitable or appropriate for them.

Through their lawyer, Stefano Filletti, they also accused the company of taking advantage of their lack of knowledge to make them sign documents they did not understand.

The financial management company was fined €12,000 by the MFSA in October 2012 and had its licence to sell complex products restricted for three years after an investigation into sales practices determined that in a number of instances it had failed to act in the best interest of investors. The company has appealed the decision.