FT: Pension fraud probe linked to Rowanmoor death
Muggle
By Alice Ross
FINANCIAL TIMES
Published: December 18 2009 23:08
The death of the managing director of a leading pensions company has
triggered a million-pound fraud investigation.
The body of David Seaton, founder of Rowanmoor Pensions, was found on
a beach in Cornwall in September. He had been missing for more than a
week.
Wiltshire police are conducting a fraud investigation under their
economic crime unit into allegations that Mr Seaton defrauded
Rowanmoor of £1.6m ($2.6m) between 2001 and 2005. A police spokesman
confirmed that the investigation was linked to Mr Seaton's death.
The police were tipped off by a single individual.
At least one compliance director at a firm of stockbrokers has been
contacted by police as part of the investigation.
Client money at Rowanmoor, which has about £3bn of assets under
management, is believed to be unaffected by the fraud investigation.
Ian Hammond, Rowanmoor managing director, said in a statement on
Friday: "We are aware of a possible fraud committed by David Seaton.
This is subject to police investigation. As a result, we are unable to
discuss the case at this stage.
"We can confirm, however, we are confident that no client will be
disadvantaged."
Mr Seaton led a pension advice consultancy at James Hay in the 1990s
before leading a management buy-out of the consultancy arm with
business partner Mr Hammond to form Rowanmoor Pensions in 2006.
Rowanmoor, which is based in Salisbury, specialises in small self-
administered pension schemes, which are aimed at small businesses.
Mr Seaton was a well-known commentator on pensions and a respected
figure in the industry. He had been an active campaigner on changes to
the pensions regime in the UK. He was also a member of the council of
the Association of Independent Financial Advisers.
Mr Hammond said at the time of Mr Seaton's death that he had been a
"highly motivating and respected colleague", adding: "He leaves an
outstanding legacy in Rowanmoor Pensions."
Mr Seaton's death in August at the age of 57 shocked members of the
industry. He had been reported missing on Tuesday, August 25, having
been last seen in the office at Rowanmoor Pensions in Wiltshire the
previous day.
His car was later found in Boscastle in Cornwall, prompting police
searches in the surrounding area.
His body was discovered by a passer-by on September 1 on Warren Gutter
beach, near Kilkhampton, North Cornwall.
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