UK tycoon, accused of murdering his SA employee, sued after R1.3 billion 'disappeared'

accreditation
0:00
play article
Subscribers can listen to this article
Harvey Boulter (Photo by Garrige Ho/South China Morning Post via Getty Images)
Harvey Boulter (Photo by Garrige Ho/South China Morning Post via Getty Images)
Getty

    • A former venture capital tycoon is being sued in the UK over the disappearance of almost R1.3 billion in investor money.
    • Harvey Boulter is currently awaiting trial in Namibia for murder over allegations he shot dead his South African game park manager.
    • Boulter came to public prominence in 2011 when he revealed a friend of Conservative Party lawmaker Liam Fox was incorrectly promoting himself as an official adviser. 


    A former venture capital tycoon and his lawyers were sued in the UK over the disappearance of some 64 million pounds (almost R1.3 billion) of investor money. 

    The liquidators of medical technology firm Enigma Diagnostics allege that British entrepreneur Harvey Boulter used its money for his own benefit, including a payment to a British super car manufacturer. The funds moved through law firm DLA Piper’s bank accounts, the liquidators’ lawyers said in documents filed at the UK High Court. 

    Boulter is currently awaiting trial in Namibia for murder over allegations he shot dead his game park manager,  South African citizen Gerhard van Wyk, during an argument in February. He’s scheduled to appear in a Windhoek court September 17. Boulter made his fortune running Porton Capital, a now shuttered $670 million (R9.6 billion) investment firm that raised money for venture capital style deals.

    FRP Advisory, the liquidators, said in court documents that more than half of the investor money destined for Enigma was used for unrelated purposes. Enigma, founded by Boulter in the early 2000s and financed by Porton investors, was “consistently loss making” and was wound up in 2017, the suit said.

    Investors in Enigma sent around 106 million pounds between 2006 and 2015 to DLA Piper’s bank account in the UK managed on behalf of Porton, lawyers for FRP said in the documents filed July 29. 

    Charles Cook, head of DLA Piper’s UK corporate team, is also named as a defendant in the suit. Cook was the only lawyer "substantively involved" in handling Enigma for the law firm and his name appeared on related documents from as early as 2005, the lawsuit alleged.

    Some 42 million pounds was transferred to Enigma while the balance - around 64 millions pounds - was paid out to Boulter, his associates, or used for Boulter’s personal benefit, the lawsuit alleged. 

    That breached rules governing how law firm accounts should be used, and also contravened Boulter’s responsibilities as a director of Enigma, argued the liquidators.

    “We are committed as a firm to upholding the highest principles of ethics and professional standards and do not consider this claim to have any foundation,” a spokesperson for DLA Piper and Charles Cook said by email. “Given ongoing proceedings it would be inappropriate to comment further.”

    Boulter’s UK lawyers at Kobre & Kim declined to comment on the civil suit.  A Namibian lawyer for Boulter declined to comment on the criminal case. 

    Libel case

    Boulter came to public prominence in 2011 when he revealed a friend of Conservative Party lawmaker Liam Fox was incorrectly promoting himself as an official adviser. Fox resigned following a public outcry 

    A subsequent libel case following comments Boulter made in a Sky News interview was settled. 

    Boulter went on to finance the failed political run of a UK Independence Party candidate who stood against Fox in the 2015 general election as well as second candidate running against the son of the judge who oversaw that libel case.

    Porton Capital also attracted media attention after investor complaints over the poor returns. An investigation in the South China Morning Post found a discrepancy between the price investors were told the shares cost and the actual price recorded in company documents.

    - With assistance from Jonathan Browning and Kaula Nhongo.

    We live in a world where facts and fiction get blurred
    In times of uncertainty you need journalism you can trust. For only R75 per month, you have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today.
    Subscribe to News24
    Rand - Dollar
    14.73
    +0.8%
    Rand - Pound
    20.12
    +0.8%
    Rand - Euro
    17.29
    +0.7%
    Rand - Aus dollar
    10.70
    +0.4%
    Rand - Yen
    0.13
    +1.1%
    Gold
    1,777.50
    +0.2%
    Silver
    22.92
    +1.9%
    Palladium
    2,035.00
    +6.6%
    Platinum
    1,009.50
    +5.5%
    Brent Crude
    74.36
    +0.6%
    Top 40
    56,938
    +1.5%
    All Share
    63,353
    +1.6%
    Resource 10
    56,962
    +2.0%
    Industrial 25
    81,495
    +0.9%
    Financial 15
    14,175
    +2.1%
    All JSE data delayed by at least 15 minutes Iress logo
    Company Snapshot
    Voting Booth
    What potential restrictions on unvaccinated South Africans may make the biggest difference to public health, the economy?
    Please select an option Oops! Something went wrong, please try again later.
    Results
    Limited access to restaurants and bars
    11% - 114 votes
    Limited access to shopping centres
    15% - 149 votes
    Limited access to live events, including sport matches and festivals
    27% - 268 votes
    Workplace vaccine mandates
    47% - 480 votes
    Vote