“The overseas companies have not entered into any insolvency procedure. Therefore any valuation based upon Harlequin Property’s administration process is both arbitrary and highly questionable.
“It is unfortunate that such communications, which result in unnecessarily worried investors, are not brought to our attention before publication.
“We assure our investors that Harlequin is committed to developing its hotels and building investors’ properties, and are buoyed by yesterday’s landmark decision in the Irish courts, which vindicated our claims against previous contractors.”
A spokesperson for the FCA said: “Investors in Harlequin will understandably be concerned about the current value of their investment. In order for Sipp firms to keep savers informed, we have indicated that they should take a prudent approach to valuations – this will help prevent misleading consumers, and risks to their pension benefits.
“We have not said that the investment must be valued at £1; how each firm values the investment is up to them.”