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Father and son at odds over hotel chain wealth

The head of the £800m Radisson Blu Edwardian hotel chain is facing a high court claim from his father that he is entitled to a third of the family’s wealth under Sikh and Hindu traditions.


Jasminder Singh’s father Bal Mohinder Singh says that the claim is not about money, but rather the importance of tradition, and alleges that his son has failed to abide by the Mitákshára system of family wealth being shared.


However, Jasminder, whose wealth has been estimated at £415m, maintains that he did not have a particularly religious upbringing, and that he was not raised to believe in any such agreement to share family property.


Sir William Blackburne is being asked to decide a preliminary issue in the case – whether the family property is subject to a constructive trust and, if so, under what terms. He was told that he will also be referred to Indian authorities during the two week trial. If he finds in favour of the father that the property is subject to a trust, issues of quantum will be decided at a subsequent trial.


John McDonnell QC, representing the father he described as “head of the family”, said that both he and Jasminder still live in the same very substantial country house, Tetworth Hall, on the edge of Ascot racecourse, and that his client may have to give his evidence there as a result of poor health.


He said: “The father is not claiming a share of any of Jasminder’s wealth acquired by his own efforts. It is our claim that Jasminder’s wealth is the family’s wealth.”


He explained that the Mitákshára encourages and provides for a customary institution referred to in English as “the joint Hindu family” and that a family living in accordance with it ideally live and worship together, with the beneficial ownership of family property treated as belonging jointly to the male members of the family, with females entitled to maintenance.


The claim is brought against both Jasminder and his brother Herinder Singh, with Bal Singh claiming entitlement to a third share of the family fortune.


Bal Singh says that his son helped in the family business that began with a post office in North London in 1973 and that after Jasminder qualified as an accountant they bought and refurbished a Kensington bed and breakfast.


They ultimately worked their way up to acquire the successful Radisson Blu Edwardian hotel chain, which includes hotels in Manchester and Guildford as well as London landmarks including the Vanderbilt and the flagship five-star May Fair.


However, Bal alleges that his son forced him to retire in 2010 and refuses to follow the Sikh and Hindu tradition of Mitakshara by sharing the family wealth.


In his witness statement before the court, Bal said: “Both I and his mother are deeply ashamed that Jasminder should publicly renounce his cultural heritage and the mutual rights and obligations in which he was brought up.


“That family system based on custom and religious teaching is widely practised and universally understood by Hindus and Sikhs in India today just as it was in British India where I was brought up. It is also widely practised and universally understood in the Sikh and Hindu communities overseas including East Africa and the UK.


“My life has been devoted to winning respect for myself and family in those communities and the respect which we have earned as a family has been the basis for the success of our business in this country.


“For Jasminder to deny that and claim all the credit and ownership for himself will be shocking to wide sections of those communities particularly our family friends – that is why his mother and I are so ashamed.”


The judge is expected to reserve judgment following the two-week trial.



 


Singh v Singh Chancery (Sir William Blackburne) 19 November 2013


John McDonnell QC and Daniel Burkitt (instructed by Richard Slade & Co) for the claimant


Ian Croxford QC and Daniel Lightman (instructed by Orrick) for the first defendant


Andrew Thompson for the second defendant

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