Property baron Nicholas van Hoogstraten has refused to pay £500,000 in legal costs to the family of a business rival whom he has been held responsible for having had killed.
The multi-millionaire, who last month was found liable by the High Court for recruiting two hitmen to murder Mohammed Raja, was ordered to pay the costs to Raja’s family within 14 days, but has failed to do so.
The court has now barred van Hoogstraten from pursuing a separate claim relating to an allegedly unlawful seizure by sequestrators during the dispute of £1m of assets held by him and a company, Tombstone, until the costs have been paid.
Although van Hoogstraten was cleared of murder in the criminal courts in 2003, Lightman J, on 19 December 2003, upheld evidence that the tycoon had “recruited two highly dangerous thugs” to carry out the killing in order to halt a civil action that Raja was bringing against him.
Van Hoogstraten has said that he will challenge the decision, but has failed to lodge a notice of appeal within the statutory time limit and will now have to seek judicial permission if he wishes to bring an appeal.
Counsel Peter Irvin said that the Raja family had been “starved of cash” after incurring costs in various applications without receiving reimbursement. He asked the judge to stop van Hoogstraten pursuing further claims until he has paid his debt.
Allowing the application, Lightman J said that van Hoogstraten had “quite deliberately not paid”, and that he had a “whole history” of failing to pay costs. The judge added: “He is an extremely wealthy man, and can pay this if he wishes.”
Raja was in the process of suing van Hoogstraten in respect of a business deal when, in 1999, he was stabbed and shot at his home in Sutton. The two hitmen, Robert Knapp and David Croke, are presently serving a life sentence for murder.
Raja’s family have taken over the £6m civil lawsuit. A second procedural hearing will take place at the end of this month, pending a full trial of the action in February.
Raja v Van Hoogstraten and others Chancery Division (Lightman J) 11 January 2006.
References: EGi Legal News 12/01/06
