The murky world of Conservative Party funding took a dramatic twist recently when a former donor and chum of Davie Cameron was fined 100 million dollars for dodgy share trading:
” Pentagon Capital Management, which was run by Lewis Chester, a contemporary of David Cameron at Oxford University, was ordered in February by US District Judge Robert Sweet to pay $76.8m after the fund was found to have engaged in late trading in mutual funds between 1999 and 2003.
That amount was increased by $21.7m in “pre-judgment interest”, according to a court ruling by Judge Sweet last week.
The Securities Exchange Commission issued charges against Pentagon in 2008 after the regulator embarked on a crackdown on the abuse of trading in mutual fund shares.
Investors in the fund, which has been winding down its assets since 2008, have included media tycoon Richard Desmond, former Labour treasurer Lord Levy and property magnate Gerald Ronson.
The judge found that Pentagon had engaged in so-called “late trading”, a term used to describe the practice of placing orders for mutual fund shares after the close of trading.
Late trading is illegal in the US because it allows the subject to profit from
market events that occur after trading closes.”
In another report Chester is alleged to have sent emails badgering two brokers, calling them “a bunch of women” and demanding they “work like real men”.
Oooh ! How macho…
There is another side to this case though , once again linked to the mysterious use of “Trusts” and “Foundations” by wealthy individuals.
According to the Charities Commission, The Pentagon Charitable Foundation, owned by Lewis Chester, has filed no accounts since 2010.