Harlequin Group boss David Ames was behind the Buccament Bay project, which promised a big resort style unusual among smaller Caribbean islands.

It was heavily plugged to the trade and timed to coincide with the opening of a new airport on the island in 2017, promising football coaching by former stars among its activities.

However, the 700-acre site saw only 134 rooms developed and closed in 2016. The area was acquired by Sandals Resorts International in 2020 with plans to  develop it into a Beaches property.

Ames, 70, was earlier this month found guilty by a jury at Southwark Crown Court on two counts of fraud by abuse of position following an investigation by the Serious Fraud Office (SFO). Ames offered no evidence in his defence.

The investigation revealed how Ames convinced more than 8,000 people to invest in his Caribbean hotel and resorts venture, which gained the backing of celebrities and politicians.

Other developments included The Marquis Estate and Blue Hotel in Saint Lucia, and Merricks, The Harlequin Hotel and the H Hotel in Barbados, as well as projects in the Dominican Republic and Brazil’s Garapua.

The model relied on people paying a 30% deposit to purchase an unbuilt villa or hotel room, half of which went toward fees for Harlequin and salespeople and half toward construction.

Investors were told construction of the properties would be funded by additional external financial backing, which never materialised, meaning three properties needed to be purchased to finance the construction of just one.

This, said the SFO, led to the "exponential expansion" of the scheme and an eventual funding shortfall of more than £1.2 billion by 2012, some seven years after Ames launched the scheme. During the hearing, an expert accountant told the court investors were expect to "a near 100% risk of loss".

When Harlequin went into administration in 2013, the group had sold around 9,000 property units; fewer than 200 were ever actually constructed and throughout the entire project, only 28 of the more than 8,000 investors completed on a purchase.

The investigation by the SFO found Harlequin lost £398 million of investor funds in total, including people’s pensions and life savings, while Ames creamed off more than £6 million for himself and the family business. Ames styled himself as the "chair" of Harlequin having been temporarily barred as a company director owing to a previous bankruptcy.

The SFO said it uncovered evidence Ames repeatedly ignored warnings the business was likely to be insolvent, choosing instead to conceal this and sell more units.

"Ames sacked associates who raised the alarm, and on one occasion told colleagues that concerned investors needed ‘to be put in their place’ to avoid attracting ‘bad press’," said the SFO. "Ames made publicity a key priority, promising celebrity-sponsored tennis, golf and football academies with marketing videos in which he personally explains his vision for the resorts.

"Predicting major tourism development opportunities, he even secured the endorsement of politicians in the region – including the prime ministers of Barbados, Saint Lucia, and Saint Vincent and the Grenadines."

SFO director Lisa Osofsky said: “David Ames committed fraud on a huge scale, knowingly exposing thousands of UK investors to losses totalling hundreds of millions of pounds."

Ames will be sentenced next month.