Dragons’ Den conman admits defrauding Theo Paphitis & Peter Jones with bogus investment opportunity

Mr Baumgartner won investment from the two of the show’s most prolific investors Peter Jones and Theo Paphitis when he pitched offering a stake in his satnav for skiers business.

Paphitis and Jones  were conned by the satnav salesman in a Sport Relief special filmed in June 2009, but by the time it hit TV screens in March 2010 the firm had racked up huge losses.

It is reported that Baumgartner had used the Dragons’ cash to fund an exclusive lifestyle that included renting a luxury home in Hampstead, London and giving thousands of pounds to his partner.

Judge Aidan Marron QC is quoted by the Sun newspaper as telling him: ‘You lied about the ownership of equipment which was pivotal to your pitch on TV.

‘You created a false trail of documents to deceive well-intentioned people.’

Both of the Dragons were due to appear at Blackfriars Crown Court to give evidence but at the last minute the defendant changed his plea to guilty.

Baumgartner had previously claimed that Paphitis and Jones did not give him the expertise they had promised, which had lead to the demise of Satski.

But he later admitted lying to them about ownership of the rights to the product.

Mr Baumgartner was sentenced to two years and eight months in prison.


Paul Jones

Editor of Business Matters, the UKs largest business magazine

Paul Jones

https://bmmagazine.co.uk/

Editor of Business Matters, the UKs largest business magazine