Ponzi fraudster sentenced
22 Ebrill, 2015 | Eitemau newyddion
David Gerald Dixon, the creator of a multi-million pound Ponzi fraud was sentenced today at Southwark Crown Court to a total of three years and ten months imprisonment on each count to be served concurrently, after having pleaded guilty last month to five fraud related offences.
This follows a joint investigation by the Serious Fraud Office and Hampshire Constabulary which was conducted after the collapse of Arboretum Sports (UK) Limited in 2007.
Mr Dixon created the scheme through two companies known as Arboretum Sports (USA) Incorporated and Arboretum Sports (UK) Limited. Through those companies, collectively referred to as ‘Arboretum Sports’, victims were induced into placing money into what they were told was a no-risk gambling syndicate with the potential for dramatic rates of return. In reality, the scheme was a dishonest vehicle for Mr Dixon to appropriate the funds of its members.
Mr Dixon initially fled to Malaysia and a Warrant for his arrest was issued by Westminster Magistrates Court on 18 October 2011. He was extradited from Malaysia in September 2014. In passing sentence HHJ McCreath disqualified Mr Dixon from being a company director for ten years.
Confiscation proceedings are scheduled to commence in January 2016 at a date to be fixed at Southwark Crown Court.
Notes to editors:
- Mr Dixon was charged in September 2014 and pleaded guilty in March 2015 and the related press releases are available here and here.
- John Hardy QC and Rachel Scott were instructed by the SFO in proceedings today.
- Mr Dixon pleaded guilty to counts 2, 4, 6, 8 and 9 of the indictment. They are as follows:
- Count 2: Dishonestly concealing a material fact, contrary to section 397(1) and (2) of the Financial Services and Markets Act 2000
- Counts 4, 6, and 8: Making a statement, promise or forecast known to be materially misleading, false or deceptive, contrary to section 397(1) and (2) of the Financial Services and Markets Act 2000;
- Count 9: Fraud by false representation, contrary to section 1(1) and section (2) of the Fraud Act 2006The remaining counts were ordered to lie on the file.
- The extradition from Malaysia to the UK marks the first of its kind. Both the SFO and Hampshire Police are grateful to the Royal Malaysian Police the Attorney General’s Chambers in Malaysia and the Malaysian government for facilitating the request.