Hedge fund manager Crispin Odey is set to be permanently banned from the UK financial industry and fined £1.8 million by the Financial Conduct Authority (FCA) for allegedly obstructing an investigation into sexual harassment claims. The FCA stated that Odey demonstrated a “reckless disregard” for regulatory governance, making him “not a fit and proper person” to operate in the sector.
Odey to Challenge FCA Ruling
Odey has denied any wrongdoing and intends to appeal the FCA’s decision in the upper tribunal. The regulator’s ruling follows reports from the Financial Times and Tortoise Media, which, in June 2023, revealed allegations from 20 women accusing Odey of sexual harassment and assault.
Following these allegations, Odey was removed from his hedge fund business, Odey Asset Management (OAM), which later announced its closure in October 2023.
Regulator: Odey Tried to Block Disciplinary Process
The FCA’s investigation focuses on Odey’s actions between December 2021 and November 2022. According to the watchdog, he used his majority shareholding in OAM to manipulate internal governance, removing executive committee members ahead of a disciplinary hearing in January 2022.
Once in full control, Odey postponed the misconduct hearing indefinitely, citing his inability to conduct an impartial process. He later appointed and dismissed multiple board members before finally proceeding with a hearing in November 2022—almost a year after it was originally scheduled.
FCA: Odey Lacked Integrity and Evaded Accountability
Therese Chambers, FCA’s joint executive director of enforcement, criticized Odey for attempting to “evade and obstruct” regulatory scrutiny, stating that his actions put financial markets and consumers at risk.
“A culture of silence where allegations of misconduct are ignored is dangerous,” Chambers said. “Odey’s lack of integrity means he deserves to be banned from the industry.”
The FCA confirmed that Odey violated the regulator’s code of conduct, which mandates financial professionals “act with integrity.”
Odey’s £79M Libel Lawsuit Against Financial Times
In December 2023, Odey filed a £79 million libel lawsuit against the Financial Times, arguing that the sexual misconduct allegations caused him “significant financial loss.”
The FCA has formally notified Odey of its enforcement decision. However, he remains defiant and is expected to contest the ruling in court.
