The appellant (‘Hobart’) brought proceedings against Mr Naggar, a director of its former holding company (Dawnay Day International Ltd or ‘DDI’), to recoup losses which it incurred (on its case) in consequence of transactions with clients introduced to it through Mr Naggar. It sought to recoup its losses by seeking damages on the basis that, while Mr Naggar was not one of the duly appointed directors of Hobart, he was a de facto or shadow director of it or alternatively on the basis that he was a director of DDI and the arrangements in question infringed section 190 of the CA 2006, which provided for the avoidance of substantial property transactions giving rise to a statutory liability on his part to indemnify Hobart.
Arden, Elias, Tomlinson LJJ
[2014] WLR(D) 306, [2014] EWCA Civ 939
Bailii, WLRD
Companies Act 2006 190
England and Wales
Company
Updated: 16 December 2021; Ref: scu.533939