Tenet acted for three shareholders who had invested significant sums in a global business coaching company based on representations made to them by the CEO/Founder and Head of Investor Relations that turned out to be false.
Following a successful judgment for fraudulent misrepresentation in the sum of circa £1.3m plus costs, the defendants declared themselves bankrupt in a bid to avoid paying the judgment debt. However, the defendants underestimated the options available to our clients given the judgment which was founded in fraud survived their bankruptcy.
For our clients this was about righting a wrong as is so often the case in fraud matters. Having helped our clients obtain judgment at trial, we were determined to help them enforce that judgment in order to recoup their losses. Our strategy incorporated enforcement against assets falling outside of the bankruptcy regime including an application for delegation of rights in respect of one of the defendants’ pension funds. In relation to the main perpetrator, we assisted our clients to purchase the Trustee in Bankruptcy’s interest in his family home which was held across three separate titles and involved a trust based in Guernsey. Our clients sought an order for sale and a declaration that at least 50% of the beneficial interest in the property belonged to the defendant. The matter ultimately settled favorably for our clients with voluntary payment secured avoiding yet further court intervention in the matter.
