Calvert walks free after just seven months

MALCOLM Calvert, the ex-Cazenove partner jailed earlier this year for insider dealing, has been released from jail after serving under a third of his 21-month sentence, City A.M. can reveal.

His early release comes as a smack in the face for the Financial Services Authority, which has gone all out this year in its efforts to convince the City it is getting tough on financial crime.

At the time of Calvert’s conviction in March, FSA enforcement director Margaret Cole said the sentence was proof the regulator would “take the strongest action” against anyone involved in insider dealing, describing it as “another milestone” in the FSA’s fight against market abuse.

Sidney Myers, head of the financial services regulatory practice at Berwin Leighton Paisner, stressed that prison authorities, not the FSA, would have called the shots on Calvert’s early release. But he said: “Given the FSA’s desire to be seen to crack down on this type of financial crime, it will clearly be disappointed Calvert was not required to serve a longer sentence”.

Calvert, 65, known as “Streaky”, will have to wear an electronic tagging device so that officials can monitor his movements.

Sources close to the process said he was eligible for a shortened sentence because he was a low-risk “Category D” prisoner due to his age, the type of offence and an impeccable behaviour record while behind bars.

It is unclear whether his lawyers will elect to proceed with an appeal against his sentence, which is still pending even after his release.