The wind-up of an Irish-registered investment company has been annulled after the Court of Appeal (CoA) said there was credible evidence supporting a claim it had been done for "an ulterior motive".
A director of PPF Capital Source Ltd had claimed the winding up of his company was based on a contrived and disputed $500,000 (€466,000) debt. The CoA said the director, Iain Stamp, was entitled to the annulment order.
Mr Stamp had claimed the winding-up application was contrived as part of a strategy by businessman Bhupinder Singh, who was being sued by PPF in London for advance fee fraud, to frustrate those English proceedings.
Mr Justice Brian Murray said Mr Stamp had provided an adequate explanation for his failure to attend the original winding-up proceedings against PPF in the High Court in July 2018.
The judge was satisfied that had Mr Stamp been there, the firm would not have been wound up. He believed Mr Stamp's allegation the winding up was for ulterior purposes which, if conclusively established in evidence, would represent an abuse of the court process. Earlier, the judge said when Mr Stamp, one of two directors of PPF, learned the winding up had taken place, he applied to the High Court to annul it but in January 2019, the High Court refused to do so. He then appealed.
Mr Justice Murray said the allegations made by Mr Stamp "had not been convincingly or adequately refuted".
Where neither Global or the liquidator opposed the annulment, and where nothing had been done to move the liquidation along, he said it was appropriate to grant the annulment.