A British investment firm has crashed into administration with a warning issued that customers of the company may have received "unsuitable" advice and lost money. HDH Investment Services, a brokerage and advisory firm, entered liquidation on Thursday, April 16 with Dina Devalia and Tom Parish, of Quantuma Advisory, appointed as joint liquidators.

The London-based company provided investment advice and was authorised by the Financial Conduct Authority on July 1, 2016. However, it agreed to cease carrying out any regulated activity from January 20 this year and has now entered Creditors' Voluntary Liquidation (CVL). HDH Investment Services is also "under investigation" by the Financial Services Compensation Scheme (FSCS) after reports the firm issued unsuitable advice to customers.

As reported by Professional Adviser, the FSCS will now "work closely" with the liquidator to further understand the situation. They will assess the extent of potential client financial losses.

HDH Investment Services agreed to stop carrying out regulated activities earlier this year, meaning they could no longer issue investment advice. They have since entered liquidation with the firm's London office closing immediately.

Dina Devalia, managing director and head of the Financial Services team at Quantuma, said: "Customers of HDH Investment Services can visit the FCA website for further details and FAQs. Those who have additional queries may contact our team by email at HDH@quantuma.com or by telephone on 07469 278 739."

In March, a notice on HDH Investment Services' website said: "The FCA has published restrictions on certain regulated activities that we are permitted to undertake in the UK. As a result, HDH Investment Services is currently unable to carry out restricted activities, e.g., advising on investments, arranging deals in investments, until such time as those restrictions are lifted or varied by the FCA.

"We remain committed to meeting all regulatory expectations and are actively engaging with the FCA to address the matters that gave rise to the restrictions. These restrictions are regulatory in nature and reflect the FCA's supervisory process designed to protect consumers and market integrity."