Crispin Odey faces serious allegations amid internal investigations of misconduct

An internal investigation at Crispin Odey’s now-defunct hedge fund, Odey Asset Management, has revealed at least 46 allegations of inappropriate conduct involving female employees spanning a period of 17 years. This revelation has emerged from a court filing documentation of the Financial Conduct Authority, which is currently involved in legal proceedings against Odey, one of Britain’s prominent investors.

The allegations raised against Odey range from incidents of sexual assault to more peculiar claims, such as bringing a skirt to the office and asking a receptionist to try it on under the guise of determining if it would fit his daughter. These incidents reportedly occurred from 2003 to 2020, highlighting an alarming pattern of behaviour within the firm.

The governing executive committee of Odey Asset Management commissioned the law firm Simmons & Simmons to conduct an inquiry following two allegations of sexual harassment made against Odey in September 2020. The law firm’s report, which was completed in January 2021, identified multiple historical claims of inappropriate conduct against him.

During the disciplinary hearing prompted by the findings of the report, Odey expressed regret over his actions and acknowledged that changes were necessary in his conduct. Despite this, he received only a final written warning; the repercussions of his behaviour did not extend further at that time.

The scandal surrounding Odey has intensified since financial media began reporting on the allegations. His hedge fund, which managed assets worth £13 billion at its peak, was ultimately shut down in 2023 following scrutiny from both clients and regulatory bodies. In the aftermath, Odey has pursued a £79 million libel claim against a major financial publication, while facing allegations from multiple women seeking personal injury claims against him.

The Financial Conduct Authority is now seeking to prohibit Odey from operating within the financial industry and is proposing a £1.8 million fine against him. The authority alleges that he actively tried to obstruct his firm’s attempts to address these misconduct allegations. Odey vehemently contests these allegations and aims to challenge the FCA’s actions in court.

As the case continues to unfold, the impact of these revelations on Odey’s reputation and the investment industry at large remains to be seen. The impending legal proceedings in March will likely provide further clarity regarding his future in the financial sector.