Reform UK treasurer Nick Candy‘s firm is seeking millions in damages from a technology start-up that claimed to be the ‘next Facebook‘.
Candy Ventures Sarl (CVS) insists it has been the victim of a ‘clear case of fraud’, the High Court heard yesterday.
Dutch businessman Robert Bonnier faces allegations he ‘lied’ to ‘deceive’ CVS into investing around £6.5million in Aaqua BV, which he directs.
Mr Candy owns 90 per cent of CVS, which is a portfolio of companies.
Barristers for the company stated that Mr Bonnier claimed global giants Apple and LVMH Moet Hennessy Louis Vuitton (LVMH) were set to invest $1billion in Aaqua, with Apple’s investment described to Mr Candy as a ‘foregone conclusion’.
They said, as a result, CVS swapped shares in podcasting firm Audioboom for what proved to be ‘worthless’ shares in Aaqua.
It is asking a court to rescind the investment or order Mr Bonnier to pay £5.7million in damages.
Jonathan Nash KC, for CVS, said: ‘Mr Bonnier lied to CVS, time and again, both orally and in writing, to deceive it into investing in his company, Aaqua.
Reform UK treasurer Nick Candy’s (pictured) firm is seeking millions in damages from a technology start-up that claimed to be the ‘next Facebook’
Dutch businessman Robert Bonnier (pictured) faces allegations he ‘lied’ to ‘deceive’ CVS into investing around £6.5million in Aaqua BV, which he directs
‘He told CVS that he had discussed Aaqua with Apple and LVMH, and believed that they would invest in the company.
‘In fact, and as Mr Bonnier well knew, none of that was true.’
Aaqua, now insolvent, was established in 2020 to develop a ‘new social media software application’.
Mr Bonnier is said in January 2021 to have told Mr Candy and Steven Smith, CVS’s executive director, that Apple and LVMH were set to invest in Aaqua, which would be the ‘next Facebook’.
Mr Smith claimed this was ‘completely fundamental’ to CVS’s decision to invest in shares the following month.
However, Mr Nash claimed the value of these was ‘false and artificial’.
Mr Bonnier, representing himself, admitted ‘selling aspirations for Aaqua very enthusiastically, and occasionally perhaps going too far’.
But he said CVS had ‘expressly stated it would conduct its own diligence on the likelihood of an investment’ by Apple and LVMH and added ‘any loss was brought about’ by CVS’s own actions.
The trial continues.