An accuser fled the country when his claims about a VIP paedophile ring involving high-ranking public figures and Jimmy Savile were exposed as lies, a court heard.
Carl Beech made "the most heinous" accusations of child murder, rape and abuse against politicians, military officials and intelligence service personnel, both living and dead.
Newcastle Crown Court heard the allegations, which were of the "worst kind to be made", caused "immeasurable distress" to the men, who included Lord Brittan, Lord Bramall and former MP Harvey Proctor, and their families, who later received apologies from the police.
The court heard Beech's claims, which were made to Wiltshire Police and the Metropolitan force, in 2014, included him being a victim of and witnessing abuse. They were, at first, considered "credible and true".
The now 51-year-old's allegations became the subject of a £2million probe named Operation Midland and Beech became publicly known as "Nick".
Prosecutor Tony Badenoch QC told the court when Operation Midland resulted in no prosecutions, Beech was told in 2016 that no further action was to be taken from any of his accusations, and Northumbria Police launched an investigation into his claims.
Mr Badenoch told the court: "His life was about to be turned upside down and inside out."
The court heard the Northumbria force concluded, after a year-long probe, that the allegations made by Beech were "probably false", and in November 2016 a team of officers arrived unannounced at his three-bed home in Gloucester, where he had a £34,000 Ford Mustang convertible parked outside.
Mr Badenoch told the court: "He had lied about the content of the allegations, taken active steps to embellish a false story, and then cover his tracks when challenged."
Beech made no response when quizzed about his claims against the public figures being false.
Mr Badenoch added: "Ultimately, he took the only opportunity that was really available to him. He fled the country and he lived overseas as a fugitive.
"That was, until a specialist fugitive unit in Sweden, working closely with Northumbria Police and the National Crime Agency to secure his arrest on a European arrest warrant, executed overseas.
"He was then extradited back to this country to face these charges."
Beech, from Gloucester, denies 12 charges of perverting the course of justice and one of fraud. The trial continues.