Mohammad Jafari-Fini has changed tack in his legal battle for control of Chesterton and is now targeting the personal fortunes of David Rowland and his son Jonathan, one of whose companies has Chesterton as its main asset.
Jafari-Fini led a takeover of Chesterton in spring 2003, with backing from Rowland’s company Resurge.
But he lost control control nine months later after the company claimed Jafari-Fini’s bid vehicle had breached the terms of a loan to buy the business.
Jafari-Fini now says that Chesterton’s receivership and the suspension of Resurge shares on the Alternative Investment Market means that he must go after the Rowland family’s money.
Resurge issued a statement yesterday explaining that one of its subsidiary companies could not repay about £7m of borrowings used to help with the acquisition of Chesterton two years ago.
This will only add more public embarrassment to Resurge managing director Jonathan Rowland, 29, who also faces a divorce claim from his wife Zoe for a slice of the Rowlands’ estimated £690m fortune.
Jafari-Fini said: ‘I will amend the claim to go for them [the Rowlands] personally as their company does not control Chesterton now. There will probably be nothing left at Resurge – it may have to be a forced seller to director of Rowland Capital.pay down money it owes to one of David Rowland’s companies.”
Jafari-Fini maintains that both Jonathan and David kept control over the running of Chesterton. He said he would amend his claim form to accuse the Rowlands of being ‘shadow directors’.
His claim for at least £20m is, he says, compensation owed for what he alleges was an illegal move to wrest control of Chesterton from him.
References: EGi Legal News 10/03/05
