Convicted fraudster Freddy David may lose home
Former HBFS boss defrauded 55 people – mostly Jewish and some of whom were members of his own Borehamwood community – out of a total of £14.5million.
Fraudster Freddy David is facing the possible loss of his family home as prosecutors asked this week for valuation at preliminary assets hearing.
David, formerly of Hartfield Avenue, Elstree, is currently serving six years in prison after admitting last year to charges of obtaining a money transfer by deception and fraud by abuse of position.
A preliminary hearing into the David family’s assets at Southwark Crown Court on Thursday, attended by David’s wife, Hannah, but not by himself, focused on three properties. Mrs David owns half of each of two of the properties concerned, but there is no agreement about the ownership of the third.
The prosecution has asked for a valuation to be made of the David family home before the next hearing, due to take place on 17 and 18 December.
A compulsive gambler, David defrauded 55 people – mostly Jewish and some of whom were members of his own Borehamwood community – out of a total of £14.5million.
He used the money to fund his gambling habit, and, between 2005 and 2017, paid for his children’s school fees and family holidays abroad.
As his fraudulent actions – carried out in parallel with legitimate business of his financial services company, HBFS – came closer to discovery, David set up a so-called “Ponzi scheme” in which he paid older creditors with the investment funds of newer victims.
Many of those he defrauded were said to be elderly and vulnerable, and some had invested their life savings with David.
In May, City watchdog the Financial Conduct Authority banned David for life from the financial sector, deeming him “not a fit and proper person”.
HBFS is in liquidation, and on Thursday Her Honour Justice Taylor, QC, received initial representations in a hearing to decide what assets remain to David.
Once that is agreed, a subsequent court hearing will consider what of those assets might be apportioned to his victims. It is understood that few of them will receive anything close to their original investment.
Keep community journalism free.
Jewish News is free for everyone. No paywall. No barriers. Just trusted journalism for anyone who wants to stay connected to Jewish life in Britain.
If you value that, please support us.
From as little as £5 a month, you can help keep our journalism free and accessible to all.
Every day, we report on the issues that matter to our community. We celebrate achievements, support charities, challenge antisemitism and ensure Jewish voices are heard more widely.
From as little as £5 a month, you can help us continue to:
- Report on the stories shaping Jewish life in the UK and beyond
- Bring our community together through shared stories, events and campaigns
- Celebrate the people, culture and moments that define our community
- Support organisations doing vital work across Jewish Britain
You can make a one-off donation or become a regular supporter. Every contribution helps keep our journalism free, independent and accessible to all.
If everyone who values Jewish News gave a small amount, it would make a real difference to our future.
