The Federal Criminal Court has doubled the prison sentence for failed hedge fund manager Florian Homm. Only one thing can help him now.
Sometimes things don’t go as planned, even for financial wizard Florian Homm.
The hedge fund manager, who caused investors to suffer heavy losses, juggled penny stocks between investment products, which eventually became worthless.
Sentence extended
And now the Appeals Chamber of the Federal Criminal Court has also ruled against him.
Homm was found guilty of commercial fraud, aggravated money laundering, and document forgery.
However, the appeals court surprisingly increased his prison sentence from 36 months, part of which was suspended, to 6 years and 7 months without parole.
In addition, the judges sentenced the financial wizard to a fine of 81 daily rates of 3,000 Swiss francs each.
Years in tug-of-war
In Homm’s renewed absence, the court found that the 65-year-old German had acted fraudulently to the detriment of the fund and its management company.
Homm’s conduct had led to price manipulation and caused damage amounting to over 100 million Swiss francs, according to statements from Bellinzona.
The trial had been eagerly awaited because years of wrangling over the first-instance trial had attracted much attention.
Millions in compensation awarded
Co-defendants of the investment advisor and financial manager, often described as a ‘genius,’ were also found guilty of aggravated money laundering by the appeals court.
The court listed individual transactions that had been hidden or laundered in Switzerland.
The appeals court also ordered the return of assets worth 8 million Swiss francs to the plaintiffs, as well as 40 million Swiss francs in civil claims and 50 million Swiss francs in compensation claims.
Swiss banks affected
Swiss financial institutions such as the Lucerne-based private bank Reichmuth, the Geneva-based private bank Lombard Odier, and the major bank UBS also invested in the investment funds listed on the London Stock Exchange.
Now, Homm & Co. have only one chance left, as the new convictions are not yet final.
Those affected can still appeal the sentences before the Federal Supreme Court. Perhaps things may not go smoothly for the convicted parties there, either.
10.09.2025/kut./ena.
