Lawyers acting for liquidator FRP Advisory have been accused of an “illegitimate” pursuit of a man whose “estranged” father carried out a £9m property fraud.
A High Court judge said that lawyers at Gunnercooke risked upsetting the trial process due to the pressure they put on Siddhant Varma.
The liquidators were investigating a scam surrounding the Grosvenor Hotel in Bristol in which investors each paid £50,000 to convert it into student flats.
Sanjiv Varma, Siddhant’s father, was the de facto director of Grosvenor Property Developers which was behind the project. The scheme was not finished and Sanjiv spent some of the money on diamonds and other luxuries.
Sanjiv, who is based in Dubai, was found guilty on several charges of contempt of court for lying during investigations and court hearings. He is due to be sentenced next month.
Siddhant Varma’s barrister had complained about an “oppressive and bullying” letter which effectively threatened prison as liquidators sought payment of almost £3m.
