City Accountant Guilty Of Fraud

A London accountant, who funded a band featuring X Factor contestant Danyl Johnson, has been found guilty of cheating "investors" out of millions of pounds of life savings.

Qualified chartered accountant and former BBC employee, Andrew Papadopoulos, 40, was found guilty of 18 offences relating to high-yield investment fraud following a trial at Southwark Crown Court yesterday.

The charges relate to a fraud investigation conducted by the Metropolitan Police Service's Economic and Specialist Crime Command, SCD6.

Papadopoulos, originally from Addison Road, Wanstead, was arrested in Corfu on 27 July 2009 on a European Arrest Warrant in connection with deception by money transfer, theft and Financial Service Act offences.

During the trial, the jury heard how between 2003 and 2005 Papadopoulos ran an unauthorised investment scheme called "Multi Investments" or "Multi Ventures" guaranteeing private investors a 17.5% on their money every 12 weeks.

The investment business was funded by money that he had acquired from friends, acquaintances and, as word of his so-called "success" spread, from strangers.

Some invested up to £250,000 in the venture.

Papadopoulos helped fund the fledgling boy-band 'Upfrunt' - which counted former X Factor contestant Danyl Johnson among its five members.

Despite paying £10,000 towards the band's costs, Upfrunt never released a record or performed a gig.

All of Papadopoulos's investments were disastrous, including losing £2.4m in one spread bet account alone.

After June 2004, Papadopoulos continued to sell "investments". However, instead of investing the money he received, Papadopoulos used it to repay previous investors.

Papadopoulos fled the UK in January 2005 having cashed in the remaining money.

In March of that year, the FSA called in the MPS's fraud squad. Investigations revealed a total of 325 investors and losses totalling more than £6m.

Papadopoulos was arrested in June 2009 while working as a DJ in the budget Pink Palace resort on the Greek island of Corfu.

DS Richard Ward, the officer in the case, said: "This man caused untold personal and financial misery to hundreds of investors who lost life savings, inheritance and pensions. Many were forced into selling homes; many of their lives have been ruined."

"People invested because of the high-yields promised and because of the glamour of spread-betting, sports and pop memorabilia and the music industry."

(PR/KMcA)