A statement from Regulatory Legal, which was representing investors trying to recoup money from the Essex-based business, said attempts to freeze the firm’s assets would not go ahead.
Regulatory Legal had issued proceedings at Birmingham High Court to freeze the assets of Harlequin Property amid concern about investor money put into projects in the Caribbean.
A statement from the law firm said: “Within the substantive proceedings an application for a freezing order was made. The freezing order application was listed on 7 March.
“The judge postponed the hearing of the application until 14 March. The claimants asked for an interim order for seven days until the hearing on 14 March. This interim application was not granted by the court.
“The parties reached an agreement on 8 March. The terms of the settlement are confidential. Procedurally, the claimants’ lawyers will appear before the court on the 14 March to obtain an order from the court finalising proceedings.”
A statement from Harlequin said: “On Thursday 7 March 2013, Regulatory Legal Solicitors, acting for six purchasers of properties at Buccament Bay Resort, applied for a freezing order against Harlequin Property and Buccament Bay Resort Limited.
“This very public application followed days of media speculation unfairly inferring that Harlequin Property and Buccament Bay Resort would be forced to stop trading.
“Harlequin is pleased to say the court refused to grant the application and we are trading as normal.
“Harlequin denies any wrongdoing and looks forward to clearing its name in relation to the other allegations that are being referred to in the press.”
The firm has come under scrutiny since the release of an FSA alert urging advisers to ensure they conduct due diligence on the investments.
Later the Serious Fraud Office announced it was seeking information from investors in Harlequin schemes.
