Former BHS owner Dominic Chappell is to stand trial for failing to hand over information to the investigation into the store’s collapse
The former owner of BHS has gone on trial over claims he failed to hand over information to an investigation into the sale of the collapsed retailer.
Dominic Chappell arrived at Brighton Magistrates’ Court this morning.
He is accused by The Pensions Regulator (TPR) of not complying with its requests on three occasions – twice in 2016 and once again last year.
Former bankrupt Chappell was the boss of Retail Acquisitions, the company that acquired BHS for £1 from billionaire Sir Philip Green in 2015.
But the company subsequently crashed just 13 months later leaving pensions black hole of up to £571million.
The 51-year-old pleaded not guilty to three charges of neglecting or refusing to provide information and documents, without a reasonable excuse, contrary to the Pensions Act 2004.
Opening the case Alex Stein, prosecuting, said that BHS – which had around 11,000 employees – was sold to Retail Acquisitions, which was headed by Chappell, for £1 in March 2015.
He told the court the Pensions Regulator had a duty under law to safeguard the pensions of all company employees in the UK.
He said the Pension Regulator has concerns about the future and running of two pension schemes run for 19,000 former BHS employees and was concerned about a deficit in the scheme of more than £500 million.
Former bankrupt Chappell was the boss of Retail Acquisitions, which acquired BHS for £1
The Pension Regulator launched a full investigation into the pension scheme and made three separate requests to Mr Chappell, the director and majority shareholder of Retail Acquisitions, for documentation regarding the pension schemes.
‘The Pensions Regulator was created to protect pension schemes. The Regulator has the power to gather documents.
‘The crux of the case against Mr Chappell is that he failed to respond to three requests for information.’
Chappell, of Winterborne Clenston, in Dorset, represented himself at his previous hearing where he was refused an adjournment after he said he had not seen a court summons because he had been on a boat at sea when it was served.
He also accused the regulator of abusing its powers – which it disputes – and claimed it briefed the press before he learned he was being prosecuted.
The trial is expected to last four days.
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