The Mercury revealed yesterday that Wollongong financial planning business Tarrants - which recommended clients invest in collapsed fund manager Trio Capital - had placed its Wealth Management arm into voluntary liquidation.

In a statement sent to the Mercury on Monday, a spokesman for Tarrants said 12 employees had lost their jobs while "13 of Tarrants' Wealth Management employees will be employed by WealthSure".

But WealthSure managing director Darren Pawski said yesterday that although his business was negotiating to take over some of Tarrants' clients, there was no agreement to employ any of Tarrants' staff.

"It was never discussed that we would take on staff," Mr Pawski said.

"We would look at authorising one or two people from Tarrants to liaise with the clients (during a handover). But they would not be employed by us."

The public relations company which issued the initial statement said late last night they were still seeking to clarify the situation with Tarrants.

Mr Pawski said to his knowledge, WealthSure had not advised any of its clients to invest in Trio Capital or its $123 million flagship investment scheme Astarra Strategic.

He said the focus of both WealthSure and Tarrants was to look after Tarrants' displaced clients.

But Maguire and McInerney lawyer Mark McDonald, who is representing some of the investors who have lost money, did not expect many clients would take up the offer to move across.

"A lot of people I have spoken to have already moved on to new financial planners or won't go near another financial planner," Mr McDonald said.

Tarrants and Dominion, another Wollongong-based financial planner, had clients' money heavily invested in the Albury-based superannuation fund manager Trio Capital, predominantly through investment scheme Astarra Strategic.

Hundreds of investors are facing ruin after their life savings vanished when Trio Capital failed last October.