Regulatory body for wine investment launches30th November, 2012 by Rupert Millar
The Wine Investment Association, a body committed to setting standards for wine investment, launched this week.
Members will be expected to stick to a code of conduct that restricts business practices such as high-pressure sales.
Companies will also be subject to an audit to ensure that they can fulfil orders and that customers are entitled to their wine.
One of the founding members, Peter Shakeshaft of Vin-X, told the drinks business in September about the urgent need for a self-regulating wine investment body.
Since then a number of prosecutions and questions surrounding valuations have arisen.
Notably one con man was jailed for scamming friends and acquaintances out of over £750,000 and the Financial Times cast a quizzical eye over the valuation methods of Nobles Crus.
Chairman and founder member, Hugo Rose MW, said that as wine investment was worth some £200 million in the UK, it “should be safe”.
He condemned previous trade responses to wine investment fraud as mere “handwringing” and that the Wine Investment Association was, “an important step towards eradicating fraud and inadequate management”.