Ebullio Capital Management is facing getting wound down after failing to pay a court-ordered judgement to an investor.
In March, Ebullio Capital Management was ordered to , the maximum allowable, plus 8% interest. After waiting a mandated period for payment, the investor will be filing to appoint a liquidator.
In a recent email exchange with the investor made available to Finance Magnates, Lars Steffensen, founder and executive managing partner of the fund, accused the investor of making things “personal” and wrote: “The only thing I have scant regard for is you. And you can include scorn and slight regard in that.”
Steffensen also called the investor a “world-class coward” and “cheap, piece of shit liar”. Steffensen did not respond to a request for comment.
In a for £100k, brought by a former partner and employee, Steffensen sent a payment of £6.66, according to bank statements made available to Finance Magnates.
Ebullio’s activities have been reported to the UK regulator under which the fund is authorised, the FCA, a number of times. However, there has been no action taken.
Paul Barnes, a forensic accountant based in the UK, said that the FCA has “a lot of difficulties” and is overstretched with lots of similar cases. “They are very reluctant to follow up these kinds of situations because it’s costly and extremely troublesome,” he said.
Barnes added that the FCA relies on the Financial Services Compensation Scheme (FSCS), which pays out investors £50,000 and is a fund of last resort for customers of authorised financial services firms.
The FCA said: “Unfortunately, we will not be able to comment on this issue.”
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