(1) Mitchell & anr (respondents) v Bin Issa Al Jaber (appellant) (2) JJW Limited (In Liquidation) (appellant) v Mitchell & anr (respondents)

Tuesday 26 – Wednesday 27 March 2024

By Appellant’s Notice filed on (Appeal 1) 29 March 2023 (appeal 2) 31 March 2023, the Appellants appeal the Order of Mrs Justice Joanna Smith, sitting in the High Court, Insolvency and Companies List, dated 24 February 2023 in which she gave judgment against the Appellant.

The Judge gave permission to appeal by her Order of 17 March 2023 following a consequentials hearing. She also gave the Liquidators permission to appeal.

Background (summary):
1. The Appellant was the director of a BVI registered company, MBI International & Partners Inc (“the Company”)
2. The Company went into liquidation in around 2010. The liquidation is governed by BVI law and the Respondents are the joint liquidators of the Company.
3. The main asset of the Company was a substantial shareholding in another company in the same group.
4. The shares owned by the company remained in the stewardship of the Appellant and, in around 2016, he caused them to be transferred away from the Company’s ownership.
5. The liquidators brought a claim against the Defendant and other officers and directors of the company as well as against the company that received the transfer of shares in 2016.
6. The Judge found that, under BVI law, the Appellant had a duty of fiduciary stewardship not to deal adversely with company property after liquidation and had a duty. She found that the Appellant breached that duty and that the consequence was that the 2016 disposition was void and that the Appellant and the company that received the shares were liable to pay equitable compensation to the Liquidators of approx. Euro 67 million.

View hearing:

Day 1

Part 1

Part 2

Day 2

Part 1

Part 2