4 hours ago
4
A multimillionaire used-car salesman was ousted from his £300m company as part of an orchestrated “coup” involving business rivals and private equity investors, the high court has heard.
Peter Waddell, 59, claims he was forced out as the chief executive of the Kent-based dealership Big Motoring World by “conspirators” who designed a “plan” to ensure that an investigation into allegations of gross misconduct “reached the conclusion that one or more [sackable events] had occurred”.
Waddell, who remains the majority shareholder in the business, is alleged to have made a series of racist and sexist remarks, including referring to a Hindu colleague as “Hyundai”, the court was told.
The tycoon, whose backstory involves a childhood spent in care and then a spell of homelessness before finding success in business, either denies making the remarks or says they were taken out of context.
He had created a company with 525 employees, revenues of £371m and profits of £6.6m, according to the 2021 annual accounts – a track record that prompted the private equity group Freshstream to acquire about a third of the business in April 2022, with the option of eventually buying out Waddell’s remaining shares.
Waddell, who is deaf and has dyslexia, claims that a downturn in the company’s trading prompted his investors and colleagues to devise a plan to wrest control from him, which culminated in a conduct investigation during which he was never interviewed.
Alan Gourgey KC, representing Waddell, said: “These proceedings arise out of the actions of the investor in March and April 2024 in conjunction with the Big [Motoring World] companies in ousting Mr Waddell from his possession of the Big Group and taking control of the Big Group themselves instead of Mr Waddell.
“The steps taken were invalid and Mr Waddell was wrongfully excluded and removed.”
At the start of 2024, Freshstream and the Big Motoring World management opened an investigation into accusations concerning how Waddell had spoken to staff, customers and business partners.
George Spalton KC, representing the Freshstream partner Reza Fardad, countered that Waddell was advancing a narrative that there was an 18-month plot to oust him.
“This not only ignores Mr Waddell’s egregious misconduct but also ignores the vast majority of the material which illustrates they were all trying to do their best by this business acting properly, professionally and in good faith,” Spalton said.
He said there were allegations against Waddell “of the most serious kind”, including sexism and bullying.
The Hindu colleague said to have been the target of an alleged racist remark is one of a number of sources whose allegations were cited in the company investigation who will appear as a witness for Waddell, written submissions add.
James Laddie KC, for the Big companies, said: “Whether by use of carrot or by use of stick, Mr Waddell has successfully dissuaded some people from giving evidence and has turned some people.”
He added: “Given the volume of complaints against him, it is inconceivable that [witnesses] have entered into a plan.”
The trial continues.
