Ovens has no case to answer according to HMRC and starts legal proceedings

Posted on: 02/02/18

It is believed that HMRC have confirmed that Jonathan Ovens and the Arla EDL board have no case to answer re corporate hospitality expenses. This was one of the reasons put forward by Russell as to why Ovens had to be sacked. 

Ian has attempted to determine the exact date Russell was made aware that HMRC had made their decision, but without success. This will no doubt be a matter for discussion for the Arla farmer reps at their big meeting next Thursday (see later).

As was widely predicted at the time of his dismissal Ovens' dairy business D Mortimer & Sons are also known to have issued formal notices prior to the commencement of legal action against several companies and directors for loss of directorships, his tarnished reputation and loss of his Arla membership. It’s all lining up to be a very, very expensive mess, which will most likely cost £multi-millions in lawyers, court fees or most likely out of court settlements, and damages if Arla and the other implicated businesses and directors lose the cases. 

It is understood, and it’s no surprise, one of the legal notices has gone to the UKAF board, six of whom voted to expel Ovens, and with hindsight it’s likely some of those six are wishing they hadn't followed Russell like unquestioning disciples and had thought for themselves and waited until HMRC had declared their position.  It remains to be seen whether these six, including Russell and three of the candidates who have thrown their hats in the ring to replace Ovens (see below), have received individual notices of legal action for damages, but this must be a possibility.

It’s a bizarre but a very predictable set of circumstances, and the biggest worry for Arla and Arla members will be that litigation along these lines will take up a huge amount of Russell's and his five accomplices time to defend, and that’s time that should be put to better use working for members.