The man who purchased BHS for £1 from Sir Philip Green a year before it collapsed with the loss of 11,000 jobs, has been banned from being involved in the “promotion, formation or management of a company” for the next decade by the High Court.

The court found Chappell “wrongfully diverted £1.5m of funds from BHS Limited to a company based in Sweden” the day after the possibility of an administrator being appointed to the business had been discussed with its board.

Chappell also transferred “in excess of £1m to Retail Acquisitions Limited”, a company he was the director and 90% shareholder of at the time. The court said those funds should have been retained by BHS and its property arms “as proceeds from property sales in London’s Oxford Street and Sunderland”.