Hedge Fund Manager 'in £42,550 Train Fare Dodge'

[DEATH]

Money money money, must be funny, in a rich man's world.....

http://www.bbc.co.uk/news/uk-england-27011497

[interestrateripoff]

Amazing and yet if anyone else did this I'm guessing it would end up in court. But if your rich you simply pay the money back and everyone forgets about it.

Steal a bottle of water and get 6 months. That's UK justice.

[The Ayatollah Buggeri]

Why on earth did the train company accept his offer of an out-of-court settlement?

The only reason I can assume is that if it had gone to court, the train company wouldn't have seen their money back. He'd probably have been fined more than the dodged fares (and, given the scale of the theft, probably jailed as well), but the money would have gone to HM Treasury, not the train company.

However, there is no reason why the CPS could not prosecute him, regardless of that agreement. In fact, the fact that this agreement was made is effectively an admission of guilt, and thus very strong evidence. I'm guessing that the out-of-court settlement included an agreement by the train company not to make a formal crime report to the police, but one isn't needed for the police to begin an investigation.

[Executive Sadman]

Seems like a good risk.

50% chance you get caught (probably a lot less) you only pay what you'd pay anyway.

50% chance you dont, £42.5k free money.

[Smyth]

Fair play to him, UK train fares are a joke. If the train companies cant be bothered using some of the absurd profits they have made due to their state-granted monopoly to erect a few ticket barriers then screw them.

[200p]

Thats what traders do for a living, they see opportunities and seize on them - doh!

A city executive is believed to have dodged paying £42,550 in train fares by exploiting a loophole which meant he only paid a third of the journey cost.

[anonguest]

.....and just how on earth did he dodge the ticket inspectors on the train so consistently and for so long?! Did he spend every single journey locked in the toilet??!!

I increasingly get the impression that the reason so many people in his wealth bracket do this sort of thing is not so much a conscious plan to save money, although that is a 'perk', but rather the challenge of seeing IF they can get away with their thought up scam - and once they see it 'works' they just keep on doing it.

[worzel]

.....and just how on earth did he dodge the ticket inspectors on the train so consistently and for so long?! Did he spend every single journey locked in the toilet??!!

I increasingly get the impression that the reason so many people in his wealth bracket do this sort of thing is not so much a conscious plan to save money, although that is a 'perk', but rather the challenge of seeing IF they can get away with their thought up scam - and once they see it 'works' they just keep on doing it.

That's what I thought. I guess he might have bought a few tickets on the train during that period. Still dont understand where £42k came from either. Stone gate is not that much further out than me, and my ticket is just over £2k per year, albeit on a different line / TOC.

[Greg Bowman]

Fair play to him, UK train fares are a joke. If the train companies cant be bothered using some of the absurd profits they have made due to their state-granted monopoly to erect a few ticket barriers then screw them.

+1 and to all the hang him posters on this thread he paid the money back so the wee man in the street wasn't out of pocket. The self indignant righteousness about this is laughable.

[DeepLurker]

.....and just how on earth did he dodge the ticket inspectors on the train so consistently and for so long?! Did he spend every single journey locked in the toilet??!!

Good question.

I'm another London commuter, and I reckon that we get ticket inspectors at least once a month (First Capital Connect). Maybe Southeastern don't have any ticket inspectors?

[Greg Bowman]

Good question.

I'm another London commuter, and I reckon that we get ticket inspectors at least once a month (First Capital Connect). Maybe Southeastern don't have any ticket inspectors?

Easy to evade a dopey ticket inspector and anyway if only once a month why are you paying for the other 30 days.

I never pay for station parking keep a spreadsheet and add the fines in. I am way ahead at the moment.

APNR bit of problem but doesn't pick up side mounted plates like Alfa's . Fail safe is download app but only pay off peak after 10. worked so far

It's a game might as well play and enjoy it.

[Dorkins]

+1 and to all the hang him posters on this thread he paid the money back so the wee man in the street wasn't out of pocket. The self indignant righteousness about this is laughable.

Have you ever lived in a country where the majority of the population lives by the maxim "if you can get away with breaking the rules, why not?" It's the kind of thing that leads to melamine in the baby milk, tower blocks collapsing because they weren't built to regs and having to take a cash bribe with you every time you need an official to stamp a form. If you want to live in that kind of country knock yourself out, there are plenty of them.

[wonderpup]

+1 and to all the hang him posters on this thread he paid the money back so the wee man in the street wasn't out of pocket. The self indignant righteousness about this is laughable.

I don't think you have quite got the hang of this rule of law thing yet- the way it works is that both rich and poor are supposed to be equal in the eyes of the law- so if we allow the rich to simply pay back their frauds should they get caught out it creates both an injustice and a moral hazard.

For example you might employ an accountant who decides to steal from you- and he knows that should he get caught all that will happen is that he will pay back the money- but if he should not get caught he will gain at your expense. So it's a low risk high reward proposition.

Do you really think this is such a good idea?

[The Young and the Nestless]

A city executive is believed to have dodged paying £42,550 in train fares by exploiting a loophole which meant he only paid a third of the journey cost.

Does the BBC know that's not really the definition of loophole?

Loophole implies 'legally', within the law (though possibly still immorally). This other chap a while back (on the correct side of the law) could be said to have exploited a loophole.

Anyway, I've reported that incorrect use of the word 'loophole' here.

[Greg Bowman]

I don't think you have quite got the hang of this rule of law thing yet- the way it works is that both rich and poor are supposed to be equal in the eyes of the law- so if we allow the rich to simply pay back their frauds should they get caught out it creates both an injustice and a moral hazard.

For example you might employ an accountant who decides to steal from you- and he knows that should he get caught all that will happen is that he will pay back the money- but if he should not get caught he will gain at your expense. So it's a low risk high reward proposition.

Do you really think this is such a good idea?

Yep I do it's only money and when seemingly intelligent people like yourself support a system which values money above all else the ruling elite have won.

I tend to follow the wisdom of a very brave and intelligent man:

Rules are for the guidance of wise men and the blind obedience of fools.- Douglas Bader

You carry on obeying every stupid law you are subject to in case you encounter a moral hazard !

[renting til I die]

Yep I do it's only money and when seemingly intelligent people like yourself support a system which values money above all else the ruling elite have won.

I tend to follow the wisdom of a very brave and intelligent man:

Rules are for the guidance of wise men and the blind obedience of fools.- Douglas Bader

You carry on obeying every stupid law you are subject to in case you encounter a moral hazard !

+1

[SE10]

Good question.

I'm another London commuter, and I reckon that we get ticket inspectors at least once a month (First Capital Connect). Maybe Southeastern don't have any ticket inspectors?

In 5 years I've never seen an inspector on an SE train, though I only use the metro services.

[The Young and the Nestless]

Rules are for the guidance of wise men and the blind obedience of fools.- Douglas Bader

Some links for you:

1) Difference between rules and laws

2) CPS info on laws surrounding fare evasion.

Fare Evasion

You will often have a choice between specific legislation relating to the form of transport, and proceedings under the Theft Act 1978, or Forgery and Counterfeiting Act 1981. See the Fraud Act 2006 and Forgery and Counterfeiting elsewhere in the Legal Guidance.

Section 5 Regulation of Railways Act 1889 (Stones 7-7043) is usually used for offences of fare evasion on the railways for:

travelling/attempting to travel on a railway without having previously paid the fare and with intent to avoid payment thereof; or

having paid the fare for a certain distance, knowingly and wilfully proceeding by train beyond that distance without previously paying the additional fare for the additional distance and with intent to avoid payment thereof or

having failed to pay the fare, giving in reply to a request from an officer of a railway company a false name and address.

Section 103(a) Railway Clauses Consolidation Act 1845 (Stones 7-7001) covers a person refusing to quit a carriage on arrival at the point to which he has paid his fare.

Both section 5 and section 103(a) are summary only offences. "Intent to avoid payment" in section 5 does not mean a dishonest intent, but an intent to avoid payment of the sum actually due.

There are provisions in bye-laws which cover fare evasion, but in the vast majority of cases it will be appropriate to use the section 5 offence.

Consider using the provisions of the Fraud Act 2006, where there is evidence of premeditation, or persistence, or repeat offending, or large loss by the transport authority.

Enjoy!

[TheCountOfNowhere]

Fair play to him, UK train fares are a joke. If the train companies cant be bothered using some of the absurd profits they have made due to their state-granted monopoly to erect a few ticket barriers then screw them.

+1 if you can run up 42k Bill trying to get to work there is something wrong!

the money spent bailing out the banks could give us all free transport for a century. though I've not confirmed those figures.

[@contradevian]

Of course the trolls applauding the fare evasion by a hedge fund manager (we wanna be like him!) will be wailing next time some benefit 'scrounger' or single mum gets caught with her hand in the till.

If he works in the financial services industry then a fraud convinction would make him unemployable of course. (Even a CCJ can).

[juvenal]

Have you ever lived in a country where the majority of the population lives by the maxim "if you can get away with breaking the rules, why not?" It's the kind of thing that leads to melamine in the baby milk, tower blocks collapsing because they weren't built to regs and having to take a cash bribe with you every time you need an official to stamp a form. If you want to live in that kind of country knock yourself out, there are plenty of them.

Great post.

[Dorkins]

if you can run up 42k Bill trying to get to work there is something wrong!

I think they are working out the price based on what he would have paid had he bought two peak time singles every day. An annual standard class season from Stonegate to London Bridge is £4548 a year so wouldn't come anywhere near a £42k bill over this period.

[renting til I die]

Some links for you:

1) Difference between rules and laws

2) CPS info on laws surrounding fare evasion.

Enjoy!

I'm just wondering if you always stick to the speed limit law on every road you every drive down. Yes , laws are rules with greater enforceable consequences but it doesn't stop some laws/rules being completely dumb!

[renting til I die]

I think they are working out the price based on what he would have paid had he bought two peak time singles every day. An annual standard class season from Stonegate to London Bridge is £4548 a year so wouldn't come anywhere near a £42k bill over this period.

Yeah, I felt there was some creative accounting going on!

[Smyth]

Of course the trolls applauding the fare evasion by a hedge fund manager (we wanna be like him!) will be wailing next time some benefit 'scrounger' or single mum gets caught with her hand in the till.

If he works in the financial services industry then a fraud convinction would make him unemployable of course. (Even a CCJ can).

Some of the stick the banking service sector gets on here is misguided, but if you want to see a genuine example of rent-seeking due to a government-granted monopoly, the train companies are the best example you can get. How many other companies receive aver a fraction of the favours they get, up to and including a complete ban on competition, and their own private police force provided by the state.

I have no problem with people stealing from train companies, whether you are a hedge fund manager or not.