Another fund linked to the troubled Premier Group (Isle of Man) Ltd is set to be wound up.

Premier Group - which went into voluntary liquidation in November - was promoter and manager of Eco-Resources Fund, which it set up to invest in bamboo plantations in Nicaragua and South Africa through its wholly-owned subsidiary ERF Limited and the latter's minority shareholding in EcoPlanet Bamboo IOM Limited.

It was billed as a ’truly green fund’. Eco Resources Fund had a total of 189 investors and a valuation of $61m.

But in December last year, the island’s financial watchdog the Financial Services Authority sought a court order to appoint an inspector to investigate the affairs of the fund.

Eco-Resources’ board of directors resolved to put the fund into voluntary liquidation as they believed it was insolvent. At that point the fund had a balance of just £12,545 but owed creditors £2.7m.

Premier Group’s joint liquidators - Craig Mitchell and David Craine of Browne Craine and Co - issued a statutory demand for fees totalling £2.3m which Eco-Resources’s directors said they were not in a position to settle.

But the shareholders voted against winding up the fund at an EGM held on December 16. Directors Jamie Sutton, Antony Parry and William Burgoyne saw the members’ decision not to place the company into liquidation as a vote on no confidence in them and resigned with immediate effect.

The FSA’s controller has assumed control of the scheme.

In January there was a meeting called to appoint new directors Troy Douglas Wiseman, Richard Robinson and John Charles Bourbon - the latter being a director of Premier Group and a former head of supervision at the island’s Financial Supervision Commission.

But on the morning of the meeting the three proposed new directors gave notice that they were no longer prepared to stand.

Now the regulator is seeking a court order to put the company into liquidation.

Premier Group liquidator Mr Mitchell said: ’Eco-Resources still has the FSA appointed controller in place but I understand the regulator has now petitioned the court to put the company into liquidation.’

The FSA had also sought for the liquidation of the Premier Group IoM to be carried out under the supervision of the court.

However, a consent order has been agreed to proceed with a creditors’ voluntary liquidation.

Premier Group IoM also managed the New Earth group of funds, which went into liquidation in June and an official receiver appointed following an application by the FSA.

The New Earth group of funds, comprising New Earth Recycling and Renewables (Infrastructure) plc (NERR), Premier Investment Opportunities Fund PCC plc and Eclipse Investment Fund PCC plc, had a valuation of $292.22m and a total of 3,249 investors, the majority of whom are unlikely to get much of their money back.

* It has been suggested to us that the manner of our reporting in the above article may have given the false and incorrect impression that EcoPlanet Bamboo Group LLC (a Chicago based entity, trading as EcoPlanet Bamboo) is related to EcoPlanet Bamboo IOM Limited. For the avoidance of doubt, EcoPlanet Bamboo IOM Limited (the Isle of Man based entity) is not associated with EcoPlanet Bamboo Group LLC (the Chicago based entity), nor its subsidiaries. Further, neither Eco Resources Fund nor EcoPlanet Bamboo IOM Limited have any interest in EcoPlanet Bamboo Group LLC nor in any of its plantations. We apologise for any misunderstanding caused by the manner of our reporting.