Jennifer Marie Bridgett Webster v HMRC
[2023] EWHC 2697 (KB)
Terre Neuve SARL & Ors v Yewdale Limited & Ors
27 March 2023
[2023] EWHC 677 (Comm)
High Court
Someone accused others of stealing money from a complicated tax scheme. A judge ruled that some of the accused need to share specific business documents with the accusers, but not their personal stuff (like phones and computers), as that would be going too far.
Key Facts
- •Claimants allege misappropriation of funds paid to Yewdale Ltd for 'tax optimisation' purposes.
- •Various claims are brought against defendants involved in the scheme under Swiss and French law.
- •Yewdale defendants (Yewdale Ltd, El Maleh, Sasson, Sasson-El Maleh, Naggar) initially defended jointly, then acted in person.
- •Claimants allege inadequate disclosure by Yewdale defendants, including doctored emails and incomplete documents.
- •The court considers whether to order an independent e-disclosure provider to review the defendants' data.
- •Defendants claim they lack access to many of the requested documents or that they contain only personal data.
Legal Principles
Inherent jurisdiction to appoint a supervising solicitor to ensure disclosure obligations are fulfilled.
The Nolan Family Partnership v Walsh [2011] EWHC 535 (Comm)
Intrusive disclosure orders are only justified when a paramount need exists to prevent a denial of justice.
CBS Butler Ltd v Brown [2013] EWHC 3944 (QB)
A graduated response and proportionality between the threat to the claimant's rights and the remedy are necessary.
Lock v Beswick [1989] 1 WLR 1268
The disclosing party should conduct the disclosure exercise itself; remedies for inadequate disclosure typically fall short of independent review.
A v B [2019] 1 WLR 5832
At the pre-trial stage, courts generally avoid concluding views on disclosure disputes, leaving it for trial.
West London Pipeline & Storage Ltd v Total UK Ltd [2008] EWHC 1729 (Comm)
Bankers’ Books Evidence Act 1879 can be used to obtain bank statements.
Lakatamia v Su [2020] EWHC 865 (Comm)
Outcomes
Ordered Yewdale to provide a CD containing the Yewdale archive to an EDP for review.
Proportionate given the potentially exclusively business content.
Ordered Yewdale to confirm possession of USBs containing the Yewdale archive (excluding those from French authorities) under statement of truth.
Addresses inconsistent evidence; if confirmed, USBs to be provided to an EDP.
Ordered Yewdale to provide all unredacted bank statements directly to Claimants.
Addresses concerns about incomplete disclosure; no indication of sensitive data.
Ordered Mr. El Maleh to confirm possession of USBs containing Yewdale/REDS archives (excluding those from French authorities) under statement of truth.
Addresses inconsistent evidence; if confirmed, USBs to be provided to an EDP.
Ordered Mr. El Maleh to provide USBs from French proceedings to EDP for de-duplication and review; no documents to be provided to Claimants pending further order.
Potentially relevant material; addresses concerns about French law.
Ordered Mr. El Maleh to confirm possession of KPMG/FINMA reports relating to GPF; if confirmed, documents to be provided to Claimants.
Addresses defendants' assertions about KPMG/FINMA findings; source unclear.
Ordered access to email account Y1 (Yewdale-related) to be given to EDP for search and review by an independent lawyer.
Solely business-related; limited prior search; no objection from defendants.
Ordered access to email account M1 (created by El Maleh in 2013) to be given to EDP for search and review by an independent lawyer.
Potentially relevant documents despite El Maleh's claim of no communication with Claimants after March 2013.
No order made regarding Mr. El Maleh's personal devices (iPhone, iMac) or Ms. Sasson, Ms. Sasson-El Maleh, and Mr. Naggar's devices and accounts.
Highly intrusive; high likelihood of irrelevant personal data; insufficient evidence of relevant business information.
Orders against Yewdale and El Maleh are 'unless' orders: non-compliance will debar them from advancing a positive defence.
Clear, proportionate obligations; lengthy history of disclosure issues; importance of records; trial proximity.
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