Liquidator ordered to repay sums

He did not benefit personally from the payments made

A former liquidator has been ordered to repay substantial sums to the assets of a company he wound up, after a deemster found he misapplied company funds.

Roger Harper, who was removed as liquidator of Broadsheet LLC in January 2024, faced an application brought by his successor Gordon Wilson.

In a judgment, it is said Mr Harper misapplied funds through payments to Kaveh Moussavi, Rebecca Mooney Consulting Ltd and Defoe Consulting Ltd. 

First Deemster Andrew Corlett ordered Mr Harper to repay $582,497 $1,778,770.98 paid to Mr Moussavi, £36,058.60 and $132,182.74 paid to Rebecca Mooney Consulting Ltd and £25,000 paid to Defoe Consulting Ltd.

The court rejected claims relating to legal fees incurred defending an LCIA arbitration brought by VR Global Partners, finding Mr Harper had court sanction to defend the proceedings.

Mr Corlett said Mr Harper 'has misapplied substantial sums, although I stress that I accept that he has not personally benefitted financially'.

The court also ruled a liquidator is not an 'officer of the company' for the purposes of section 337 of the 1931 Act, meaning Mr Harper cannot seek relief from liability.