Mark Warwick QC represented the successful respondents in Jesseman & Anor v Ali & Anor [2022] EWHC 1080 (Ch) (16 May 2022). This was an ambitious application by the Trustees in Bankruptcy (TIB) of Mr Majeed. Following the discovering of some emails and other documents, which seemed to show that Mr Majeed had advanced £125k to Mr Ali to release a restriction on his half interest in his marital home. The restriction arose from confiscation proceedings brought against Mr Ali. When the TIB contacted Mr and Mrs Ali they said the money had been repaid to Mr Majeed’s representative in cash in Dubai. The TIB was sceptical, and chose not to obtain information from Mr Majeed (who was in prison). The TIB proceeded to issue an application, contending that Mr Majeed still owned a half interest in the property and that the property should be sold with half of the proceeds to be paid to the TIB.
The judge was not willing to reject the evidence provided by the Respondents, and therefore dismissed the application. This case should act as a warning for TIBs, that if they do not investigate their case sufficiently, they may find that they pursue proceedings at their peril and incur a substantial liability as to costs.