Anthony Parnes

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Anthony Parnes
Born
Anthony Keith Parnes

1944/1945 (age 75–76)[1]
NationalityBritish
OccupationStockbroker
Known forOne of "the Guinness Four"
Spouse(s)Denise Ratner
RelativesGerald Ratner (brother-in-law)

Anthony Keith Parnes (born 1944/1945) is an English millionaire stockbroker who was involved with Ernest Saunders, Gerald Ronson, and Jack Lyons in the Guinness share-trading fraud of the 1980s; they collectively became known as "the Guinness Four".

The son of a London gown manufacturer, Parnes started his working life as an office boy with a stockbroker. Parnes started at the bottom, working in the Stock Exchange as a 'blue button' at A. J. Bekhor. He established a reputation for dealing with the big players of the fringe banking world. Because of his success his colleagues nicknamed him "The Animal".[2][3]

Parnes built up the strategic shareholding in Debenhams for Ronson and Sir Philip Harris during Burton's fiercely contested bid for the department store group. That stake helped win the bid for Sir Ralph Halpern, Burton's chairman, in a cliffhanging finish. The vote went in favour of Burton after the bid had been extended from the 3 pm Friday deadline to the following Sunday in a special dispensation by the Takeover Panel. Parnes was a big dealer who acted for some of the biggest names in the share dealing business. After working at stockbrokers A.J. Bekhor, Rowe Rudd and McNally, he became a "half commission" man (that is, an introducing broker) with Alexander Laing and Cruickshank.[4] As well as having dealt for various clients, Parnes' relations include the former chief executive of the major British jewellery company Ratners Group Gerald Ratner[5] and the restaurateur and club-owner Richard Caring.[6] Anthony Parnes' son, Michael Parnes, also became a stock broker. Michael Parnes was chief executive of natural resource focused brokerage Old Park Lane Capital.[7]

The Guinness Case[]

Parnes and others had supported the Guinness share price to enable it to merge favourably with Distillers. Described as "flamboyant" by The Scotsman, he was sentenced to two-and-a-half years on charges of false accounting and theft, but had his sentence reduced to 21 months on appeal.[citation needed]

Parnes' case was that a reasonable man with experience in the City would not at the time have regarded what he did as dishonest. Guinness shares did not reach a price higher than was justified. He did not accept he had any responsibility to make disclosure to the Stock Exchange. The payments he received were for lawful and valuable services. He was not told that the arrangements he made for Guinness plc had not been sanctioned by its board of directors.[citation needed]

Appeals by the Guinness four in 1991 and 1995 ended in partial success, as sentences were reduced. In 1995 Michael Heseltine, the then President of the Board of Trade, lifted a government "gagging order" preventing disclosure of evidence in the appeals of defendants in the Guinness case. While this procedure was unjust, the court felt that it did not outweigh the prosecution's arguments.[citation needed]

The now deceased Patrick Spens, 3rd Baron Spens, a defendant in the second, Guinness II, trial, who campaigned for compensation after the charges against him were dropped, said: "We have tried for years to get the certificate lifted." He said that the Guinness appeal would make "Matrix Churchill look amateurish. In Matrix Churchill three men did not go to prison; in Guinness I, they did." He insisted that there was nothing wrong with the Guinness deal and says the DTI inspectors did not understand the rules of the takeover "game." Lord Spens said that the difference between winning and losing a takeover bid could easily be an executive's job and he said: "Takeovers are not genteel affairs, as the inspectors would have it. They are very, very serious, life and death businesses. Little has changed in the last 10 years. They are just called different names, the practices that went on in the 1980s."

Personal life[]

Parnes was married to Denise Ratner, sister of jewellery businessman Gerald Ratner.[8]

As a result of the Guinness case and his 17 months in prison, his marriage broke up, he was expelled from the London Stock Exchange, and left a large home in Hampstead for a small flat in central London.[9]

In 2010, his son Michael Parnes was running the London broker Old Park Lane Capital.[10]

References[]

  1. ^ "How they live now". Evening Standard. 21 December 2001. Retrieved 3 January 2020.
  2. ^ "PARNES FROM OFFICE BOY TO 'ANIMAL'". The Scotsman. December 2001. Archived from the original on 22 October 2012.
  3. ^ Cliff Feltham (3 May 2006). "Twenty Years After Guinness Parnes Junior Brokers Far East Deal". Citywire.
  4. ^ "HBOS boss spins his way out of trouble – for now". London Evening Standard. 11 April 2012.
  5. ^ Jeremy Warner (23 October 2011). "Jeremy Warner's Outlook: By teaming up with Centrica, EDF tries to look more British in bid for nuclear assets". The Independent.
  6. ^ Victoria Bates (23 December 2009). "A HEFTY DOSE OF CRUNCH-BUSTING CHRISTMAS CHEER HITS THE CITY". cityam.com.
  7. ^ Edited Jonathan Russell (30 June 2010). "City diary: Parnes rooting around the family tree". The Daily Telegraph.CS1 maint: extra text: authors list (link)
  8. ^ "Life and high-flying times of four partners in crime". The Scotsman. 22 December 2001. Retrieved 3 January 2020.
  9. ^ Braid, Mary (20 September 1994). "Adjusting to life after residence at the Savoy: Mary Braid reports on the mixed fortunes of the four lead characters in the Guinness share-rigging case since they were convicted". The Independent. Retrieved 3 January 2020.
  10. ^ Russell, Jonathan (29 June 2010). "Parnes' family tree shows he has impressive roots". The Daily Telegraph. Retrieved 3 January 2020.

External links[]

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