In September last year the Serious Fraud Office decided to abandon its two year investigation into Weavering Capital for perpetrating what was Britain’s largest hedge fund fraud to date. Apparently the lily-livered milksops at the SFO found it too difficult to to get the evidence they needed. Boo-hoo for them. That’s their job. How hard can it be to prove that the Weaving marketing information bore absolutely no relationship to what was actually done: interest rate swaps between the fund and an offshore company controlled by the fund manager, Magnus Peterson?

Anyway, just days after the SFO’s lazy, bungling incompetents decided the case was too difficult for them, two directors of Weavering (one of them Peterson’s father) were each fined $111,000,000 for “wilful neglect or default in the discharge of their duties” by the Grand Court of the Caymans.

And earlier this week the High Court in London ruled that the directors of Weavering, including Peterson and his wife, must pay $450,000,000 for their fraud in a civil case brought by the company’s liquidators.

And how did the Weasel of Weavering take the news? Was he humbled or apologetic? No. He said:

“The judgment is simply wrong”

and continued

“[it] shows a very limited understanding of the financial and trading aspects of the management of the fund”

How difficult is it to understand that a cheating scumbag comprehensively lied to investors, auditors, brokers and administrators about the fund’s strategies and investments, entered into sham transactions with himself, and ultimately burnt his way through more than $530,000,000 of other people’s money?

Of course, all Peterson has to do now is declare himself bankrupt and he gets off scot-free. Investors will never see any of their money back.

This is not justice. If there were true justice in the world Peterson would be behind bars now sharing a cell with a big, fat, sweaty man who rogered him nightly to within an inch of his life, and then his bum hole would, Prometheus-like, be restored by the next day so that the whole process could be repeated. But then, with the weak-kneed, craven, chicken-hearted cowards of the SFO at the helm, there never was going to be any justice in this case at all.


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