Regulator warns against attempt to ‘re-write history’ in Dominic Chappell case

Any effort by the lawyers of former BHS owner Dominic Chappell to “muddy the water” with “irrelevant information” would be a “cynical attempt to re-write history”, the appeal against his pensions convictions has heard.

The 51-year-old ex-racing driver was ordered to pay more than £87,000, including a £50,000 fine, after being found guilty in January of failing to provide information to The Pensions Regulator (TPR) about the firm’s pensions schemes when it collapsed with the loss of thousands of jobs.

Opening TPR’s case at an appeal hearing at Hove Crown Court on Monday, barrister Alex Stein said he was keen the proceedings were not “hijacked” by attempts to enter into evidence information which was “irrelevant” to the charges in question.

He added: “An attempt to muddy the water and draw in irrelevant material are nothing more than a cynical attempt to re-write history.”

The director of company Retail Acquisitions bought British Home Stores for £1 from billionaire Sir Philip Green in March 2015.

BHS went into administration in April 2016, leaving a £571 million pension deficit.

Sir Philip later agreed to pay £363 million towards this.

TPR investigated after the sale over concerns about two pension schemes representing 19,000 members of staff.

Mr Stein said the “crux” of the prosecution’s case was that Chappell “failed to response” to three statutory notices demanding information.

Chappell was issued with two notices, known as section 72s under the Pensions Act 2004, in March and April 2016 before being handed a warning notice in November that year.

The self-described entrepreneur who lives near Blandford Forum in Dorset, claimed he did “everything and more” to help the regulator.

But he was prosecuted and found guilty of three charges after a four-day trial.

Mr Stein said: “Despite the appellant (Chappell) confirming he received the final section 72 notice, there has never been any response to it whatsoever.”

Michael Levy, defending, told the court Chappell “believed” the notices had been responded to and previously argued the task was impossible to complete in the time frame given.

Mr Stein said it was important Chappell provided a “reasonable excuse” for failing to comply, adding: “There have been promises of witnesses and evidence to support his case” but none had materialised.

Chappell said he was ill and had been travelling abroad during the period in question, claiming this prevented him assisting investigators.

But no medical evidence or travel logs had so far been provided, Mr Stein added.

He also told the court there was no evidence of Chappell being unable to access paperwork after claiming he was locked out of BHS offices when liquidators moved in.

Chappell, dressed in a grey suit and white shirt with a yellow tie, sat at the back of the court following the evidence.

His defence team previously said three witnesses would be called to attest to his version of events in court, including his solicitor Adrian Ring who was present at the trial.

This prompted claims Mr Ring could have a conflict of interest in being called as a witness.

On Monday Mr Levy told Judge Christine Henson QC, who is overseeing the hearing with two magistrates, no defence witnesses would be called during the proceedings.

It is still unclear whether Chappell will be called to give evidence.

The appeal continues on Monday afternoon and could last until Friday.