Asset Land persuaded investors to buy plots of land for between £7,500 and £24,000 with the promise that it would increase in value if the land was granted planning permission or re-zoned.

However, in February 2013, the High Court found Asset Land Investments plc and Asset L.I Inc ran an illegal land bank by operating an unauthorised CIS (collective investment scheme) and was ordered to make a payment of £21m as part repayment for investors.

The latest announcement by the Supreme Court has found that investors did not have control of their investments and Asset Land had been the central operator of the scheme.

Mark Steward, Director of Enforcement and Market Oversight at the FCA, said the decision acted as a clear warning to those selling dubious investments.

“We will do what it takes to shut down firms trying to exploit loopholes and take advantage of consumers.

"However, while this is an important victory from a legal point of view, we are acutely aware from experience that the risk to investors who deal with unauthorised firms is that most, if not all, investors are likely only to get a fraction of their money back.

"Consumers should therefore recognise that there are huge risks involved when investing with unauthorised businesses."

The Supreme Court’s decision has opened the way for interim payments by Asset Land to be enforced but the FCA feels it is unlikely the firm and others involved will have the funds to pay the full £21m.