CROOKS'S MISERY MILLIONS
He is the disgraced tycoon whose firm lost a whopping £1.7 BILLION in one day. Now a new MoS probe reveals Peter Crook – yes, that’s his real name – earned a staggering £40m in 10 years... by selling sky-high interest loans to the vulnerable
WHEN Theresa May sat down to write about the unacceptable face of capitalism for today’s Mail on Sunday, she may not have had the unfortunatelynamed Peter Crook in mind.
But in many ways, Mr Crook is the ultimate British fat cat; big, bald, brash and used to flashing the cash.
Last week he was embroiled in a major financial scandal after his firm, Provident Financial, lost a staggering £1.67 billion of its market value in a single day when shares plunged by 66 per cent as a result of his disastrous business moves.
Now a major Mail on Sunday investigation into fat cat bosses can reveal Mr Crook made a staggering £40 million in just a decade at the helm of the 137year-old sub-prime lender. He took home £6.3 million in pay and bonuses last year alone.
He may have been forced to quit as the boss but, tucked safely behind the gates of his Northamptonshire estate, the twice-married businessman can escape the turmoil he has left behind at the beleaguered firm.
Featuring a helicopter pad, tennis court, swimming pool, champagne bar and its own equestrian centre, Mr Crook’s £3 million estate is a world away from the homes of those hard-up families who have made him a multi-millionaire.
Mr Crook, 54, known as a larger-than-life character in the City, was once described by an interviewer as ‘a jolly, down-to- earth sort’. But his vast earnings and lavish home are more indicative of the most egregious bankers than a man of the people.
One source said: ‘Provident targets middle-aged women with part-time jobs earning between £10,000 to £15,000 a year. But Crook used to earn that amount in just one day.’
Observers said he owes his huge fortune to the 2008 credit crunch. The economic crisis meant High Street banks stopped lending to struggling families, so in desperation they turned in their droves to doorstep lenders like Provident, which charge upwards of 500 per cent interest.
But Mr Crook’s latest costcutting drive to boost profits by getting rid of half of the firm’s army of debt collectors backfired dramatically when the money no longer flowed in.
Computer glitches in the new
system led to huge losses. After a ‘frank exchange of views’ in the boardroom, Mr Crook last week fell on his sword and resigned. He is believed to have personally lost around £10 million in the share price collapse. But maybe he can console himself with a glass of champagne or two in his woodpanelled bar and games room, which has a full-size snooker table. Or he could unwind in the vast spa room, which has a 23ft swimming pool, sauna, cloakroom and massage area with wonderful countryside views.
Perhaps the former banker will simply kick back on the patio terrace this Bank Holiday weekend and watch his wife’s horses gallop on the 43-acre estate near the village of Gayton. The huge equestrian centre has been home to international showjumping and race horses.
Crook moved into the rural pile with his second wife Rachel in 2011. The grand, modern home boasts six large bedrooms, a 30ft dressing room, five bathrooms and four gigantic reception rooms. Mrs Crook, 52, a former City lawyer, now spends much of her time raising and training showjumping horses for events. The couple each have two children from previous marriages – all four children have attended the prestigious Wellingborough School, established in 1595, where fees are £15,000 a year.
Formerly a managing director of Barclaycard, Mr Crook met his current wife when she worked as a corporate lawyer for the credit card firm in the mid-2000s. Crook and his first wife Laureen, whom he married in 1991, used to live in a large six-bedroom house with their two young children in the nearby upmarket village of Great Houghton.
After he split from Laureen, Crook and Rachel bought a secluded £1.2 million barn conversion in the exclusive Northamptonshire hamlet of Preston Deanery. The couple, whose home was at the end of a half-mile track, married during their years in the village.
One former neighbour, who asked not to be named, said: ‘He used to have a lot of very flash cars. There was a Lamborghini – yellow if I remember rightly – which made a glorious noise as he sped up the track.
‘He also had a Bentley and a brand-new BMW. His wife was into horses but they didn’t mix much and I don’t know anyone who went to their wedding.’
These days, the Crooks are said to long for a quiet country life. Current neighbours say the couple are friendly but hardly known in Gayton, despite living there for six years.