- Dominic Chappell claims Sir Philip Green did not share proceeds from the sale of BHS’s headquarters as agreed
- BHS administrators have said there is “overwhelming evidence” to wind up Retail Acquisitions
- The High Court has adjourned the trial regarding winding up Retail Acquisitions
Dominic Chappell’s company Retail Acquisitions plans to sue Sir Philip Green for £14m in relation to the sale of BHS’s London headquarters.
Retail Acquisitions is to sue Green and the Arcadia Group regarding Marylebone House, the department store chain’s former headquarters.
Chappell claims Green initially agreed to share the proceeds from the sale of Marylebone House, but failed to do so as the property was transferred within the Green family’s investments rather than being sold to a third party.
The headquarters was bought for £53m by Taveta Investments, the holding company of Arcadia Group.
According to The Daily Telegraph, Retail Acquisitions is to sue Arcadia Group for the loss of proceeds, although people close to Green said there was never a contract between himself and Chappell in relation to the property.
Retail Acquisitions petition
Retail Acquisitions’ prospective lawsuit against Green comes as the trial regarding winding up the business was adjourned for two months.
BHS administrators Duff & Phelps’ legal representative Ruth den Besten said in a High Court hearing that “there is overwhelming evidence that Retail Acquisitions is insolvent”, but the petition was adjourned to allow Retail Acquisitions to provide further evidence.
A spokesman said: “Sir Philip Green failed in his deliberate attempt, through preferred administrators, to close Retail Acquisitions, which is seeking to secure millions of pounds for the ultimate benefit of BHS pensioners.
“Sir Philip tried to force Retail Acquisitions into liquidation thus limiting the company’s ability to make a £14m-plus claim against him or his related companies.”