Three fund managers have been jailed for a large-scale fraud which led to losses of $8.45m (£7.03m) which were meant for the people of Libya.

The three worked together to defraud a hedge fund and sovereign wealth fund.

They were caught thanks to a CPS team and National Crime Agency investigation.

Frederic Marino and Aurelien Bessot established a company called FMCP, which was responsible for investing the funds of a sovereign wealth fund established by the Libyan government.

The Libyan Investment Authority was established in 2006 by the Libyan government to manage the Libyan Sovereign Wealth Fund to protect and develop the value of Libya’s oil revenue reserves and to diversify the sources of national income away from oil. 

Instead of optimising the investments, Mssrs Marino and Bessot, with the help of Yoshiki Ohmura, placed investments so as to maximise their own rewards, to the detriment of the fund.

Marino went on to set up a hedge fund operation in London where in partnership with Mr Bessot he was collecting undeclared finder fees for variety of investments made on behalf of the Libyan wealth fund.

The money was laundered through a series of shell companies set up by the two defendants. They were supported in their criminal activities by Ohmura in the laundering of the funds.

Frederic Marino, 56, was found guilty of fraud by abuse of position of trust and sentenced to seven years and six months imprisonment.

Yoshika Ohmura, 47, was also found guilty of fraud by abuse of position of trust and sentenced to three years and six months imprisonment.

Aurelien Bessot, 47, pleaded guilty to fraud by abuse of position of trust and was sentenced to 15 months imprisonment suspended for two years. 

The first two were found guilty at Southwark Crown Court on 8 December 2022 while Bessot pleaded guilty in advance of the trial.

Andrew West of the CPS said: “These three fraudsters were calculating and opportunistic in committing offences that left the people of Libya out of pocket by approximately $8.45m for purely selfish and greedy purposes to fund their lavish lifestyles. 

“They showed a complete disregard for the important position they held to make investments work for their clients who were looking to diversify away from solely oil revenues.

“We would like to thank the hard work and dedication of the National Crime Agency in their diligent and determined investigation.”