Sunday, 29 March 2015
Last updated 1 day ago
Feb 19 2013 | 8:58am ET
Two former employees of collapsed hedge fund Weavering Capital remain on the hook for a share of its losses after losing a court challenge.
A London court rejected the appeals of Edward Platt and Charanpreet Dabhia. Platt, a former deputy investment manager who was arrested with Weavering founder Magnus Peterson in 2011, and Dabhia, a former director, were among 10 people—including Peterson—ordered last year to pony up a combined US$450 million in a case brought by Weavering's liquidators.
The two were the only ones of the 10 to contest the lower-court ruling, but to no avail: Judge Richard McCombe found that Platt and Dabhia, "in negligently enabling this business to continue, caused the loss claimed."
For his part, Dabhia said he was a whistleblower, alerting Weavering's accountants about the fraud, and has been unjustly punished.
"I have been a victim of the whole thing as much as investors," Dahhia told Bloomberg News. "I've lost my career."
Weavering went into administration in 2009 when it was unable to meet redemptions. At the heart of the alleged US$600 million fraud was the claim that Weavering's assets were worth more than US$530 million, when it actually owned only a single US$637 million swap agreement with a company controlled by the hedge fund itself.
The U.K. Serious Fraud Office reopened its investigation into Weavering last year, having originally closed it in September 2011 after two-and-a-half years. At the time, the office said a conviction was unlikely, but it brought criminal charges against Peterson in December.
Mar 9 2015 | 6:35am ET
As more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…