A Bermudian businessman has been accused of charging overseas entrepreneurs thousands of dollars for work that was never completed.

But financial advisor Spencer Conway insisted his company was justified in charging the fees after carrying out “a scope of work” for the clients.

Nine entrepreneurs have brought a group civil action against KG Ltd, a subsidiary of Kalista Global which is headed up by Mr Conway as president and CEO. Another arm of the holding company also headed up by Mr Conway, KG2 Ltd, recently bought out the DeFontes TV and radio broadcasting companies.

Kalista Global is “a global re/insurance and financial advisory company with excellent connectivity within the investment banking, insurance products and equity markets” and claims that it can assist businesses that are “seeking to gain insight about how to better position their business for a debt or equity financing”.

“Kalista will advise on strategy, help in the development of the client’s business plan, identify potential investors, assist in acquisition valuation and prep them for investor presentations and due diligence sessions and assist in successfully completing funding,” the company states on its website.

The Royal Gazette understands that entrepreneurs paid KG Ltd thousands of dollars in fees in order to secure funding for their businesses — but that the promised loans were never provided.

In court yesterday, a lawyer for the nine disgruntled clients — understood to be from the US, Canada, Australia and Panama — insisted that KG Ltd had failed to complete work it had been commissioned and paid to carry out.

And attorney Kimberley Caines also said that, in the past year, Mr Conway had assured the plaintiffs that he would return their money — but had failed to do so.

Mr Conway replied that his company had done work for the nine, and that he had other clients who had been satisfied with the services KG Ltd had provided.

He also told Magistrate Juan Wolffe that he no longer had any connection with KG Ltd. However, yesterday Kalista Global’s website still listed him as president and CEO of the group.

Mr Conway later told The Royal Gazette that, while he was still head of Kalista Global, financial services had been provided through KG2 Limited, which was in the process of being wound down. He also said the company was updating its website.

“We are now working with the clients to resolve these issues,” he said.

Mr Wolfe confirmed the matter will go to trial next February if the parties cannot settle out of court beforehand.

Editor’s note: It is The Royal Gazette’s policy not to allow comments on stories regarding active court cases. This is to prevent any statements being published that may jeopardise the outcome of that case.