Whisky fans are being lured into investing thousands of pounds in casks of spirit by firms offering artificially-high financial returns, an investigation has found.
Cask and Still, a whisky industry magazine, discovered some companies were offering “guaranteed” returns that were many multiples of potential profits on other luxury investments.
It found that directors of some companies were linked to a previous scam involving investments in premium Australian wines while buyers were given inadequate paperwork to prove ownership if firms went bust.
The Scotch Whisky Association (SWA), the official trade body, said it was concerned that unchecked growth of the cask market worldwide puts the reputation of Scotland’s greatest drink export at risk.
Cask prices start at around £5,000 but can rise to six figures depending