FCA investigating Odey Asset Management as Crispin Odey faces sexual assault allegations - reports

The UK's Financial Conduct Authority (FCA) has reportedly been conducting an ongoing investigation into Odey Asset Management for two years which could now be widened after the Financial Times published an investigation into how founder Crispin Odey had evaded sexual assault allegations for decades.

According to the Financial Times, people familiar with the situation said the UK regulator has been conducting an internal investigation into the hedge fund firm, which initially focused on non-financial misconduct but then moved to governance issues after Odey fired his executive committee in 2021.

The FT reported the regulator may now widen its investigation to consider potential non-financial misconduct by Odey, following the publication of an FT investigation into how the hedge fund manager avoided sexual assault allegations for years.

Thirteen women who have worked for Odey Asset Management or had social or professional dealings with Crispin Odey, told the FT that Odey abused or harassed them; eight alleged he sexually assaulted them.

The FT said it has "corroborated accounts of an abusive workplace culture through interviews with more than 40 former employees of Odey Asset Management at every level".

According to the FT, a law firm representing Odey said he "strenuously disputed" the allegations.

A spokesperson for Odey Asset Management declined to comment to Investment Week and Crispin Odey has also been contacted for comment.

Following publication of the FT's recent investigation, the FT and Bloomberg reported that Morgan Stanley and JP Morgan were reviewing their prime brokerage relationships with the hedge fund group.

Morgan Stanley and JP Mogan declined to comment. The FCA has been contacted for comment. 

Crispin Odey was previously found not guilty of indecent assault in March 2021, over claims made by a junior female banker concerning an incident in 1998. 

In December 2022, news website Tortoise reported that Odey faced four separate claims of sexual assault, all of which had taken place after 1998. It said Odey was asked to comment, to which he replied there were "falsehoods" and "inaccuracies" in the allegations.