A group of investors has been authorised to form part of a court case to defend their interests against a financial firm which has filed for bankruptcy.

The 29 investors claim the company, All Invest, lost €500,000 of their money and should not now abdicate from its legal responsibilities by simply declaring itself bankrupt. They argued they had valid and legitimate rights to be included in the proceedings to safeguard their interests.

In the application, two of the investors said they were wrongly sold financial products and lost all the money they had saved to ensure their disabled son could continue receiving therapy after they die.

The court action was filed against the company and its director Wallace Falzon.

The investors claimed Mr Falzon had guaranteed a safe, capital-guaranteed investment, but it was anything but safe and they were subsequently informed their investments had run into very serious problems.

Mr Justice Joseph Zammit Mckeon authorised they form part of the case with a particular and direct interest in proceedings.

Lawyers Stefano Filletti, Jennifer Shaw and Frank Testa appeared for the investors.