For what it's worth, and I am not making any specific recommendations or otherwise about the fund or funds being discussed in this thread, a property fund, set up as a Jersey domiciled Unit Trust, is quite a common structure for an investment fund of this type.
These type of funds would be domiciled in Jersey to take advantage of Gross Roll up on Capital Gains and the favorable VAT regulations
As background info - According to the post by bob100 the Manager, Trustee and Registrar is Equity Trust Jersey - is regulated by the
Jersey Financial Services Commission and their current status can be checked online. This company would not be regulated by the FSA as it's a Jersey company.
The Auditors [broken link removed] are generally well respected within the industry and are part of the BDO group (the equivelant in Ireland is BDO Simpson Xavier)
Legal advisors Carey Olsen are well known and respected within the Jersey and Guernsey markets
The risk then, from an investors point of view, is not whether the investment vehicle is unregulated or unauthorised, but rather the investment strategy of the manager and his / her ability to make the correct decisions with the money within the fund. An investor needs to look at the experience and knowledge of the fund / investment manager in the specific area (ie Eastern European property).
In addition the investor needs to look at fees associated with the fund (entry / exit fees, manager performance fees, annual management fees etc) and, assuming that this is a close ended unit trust, what the exit strategy of the fund itself is and what restrictions, if any, apply to redemptions from the fund.