Odey Asset Management halted withdrawals from two more funds in response to mounting redemption pressure as the firm struggles to contain the fallout from fresh sexual assault allegations against its founder Crispin Odey.
(Bloomberg) — Odey Asset Management halted withdrawals from two more funds in response to mounting redemption pressure as the firm struggles to contain the fallout from fresh sexual assault allegations against its founder Crispin Odey.
On Friday, the Special Situations and Odey Portfolio funds joined previously suspended Brook Developed Markets and Brook Absolute Return money pools, deepening the crisis at the asset manager. The four funds collectively managed about $1 billion at the end of May, according to data compiled by Bloomberg.
“Following the receipt today of a sizeable level of redemption requests, the decision to declare the temporary suspension has been taken in what the directors consider to be the best interests of all shareholders so as to facilitate the management of portfolio transactions in an orderly fashion,” the firm said in the suspension letter dated June 15 for the Special Situations fund.
The firm has been in turmoil since last week’s Financial Times investigation into Odey’s treatment of women over a 25-year period that included multiple allegations of sexual harassment and assault. The accusations followed similar reports in the two years since he was acquitted of an assault charge in British courts. Two women came forward to Bloomberg News, another went to the Times of London newspaper. Later, more appeared in a Tortoise Media podcast.
Over the past week, the London-based asset manager has removed its founder from the partnership, shuttered one fund, suspended four others and started the process of hiving off its funds and employees in a move that would likely signal the firm’s end.
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