FAMILY DIVISION
Strand, London, WC2A 2LL |
||
B e f o r e :
____________________
Michael Veluppillai |
Petitioner |
|
And |
||
Anushiya Veluppillai (1) Sureka Veluppillai (2) Arun Veluppillai (3) AVSVSVMV Expert Solutions Ltd (4) |
Respondents |
____________________
The Petitioner, Second, Third and Fourth Respondents were not present or represented
Hearing date: 26 October 2015
____________________
Crown Copyright ©
Mr Justice Mostyn:
"I, Dr Dobray Maria, after careful personal examination of the case and previous medical certificates hereby certify that Mr Michael Veluppillai has been suffering from unpredictable repeated seizures for last 4 months due to epilepsy or other unknown causes that I consider that a indefinite period of absence from travelling, attending court hearings, work or any other similar activities effective from 2015, October 15 is necessary to be extended for the restoration of his health"
"In my judgment [the doctor's letter] falls far short of the medical evidence required to demonstrate that the party is unable to attend a hearing and participate in the trial. Such evidence should identify the medical attendant and give details of his familiarity with the party's medical condition (detailing all recent consultations), should identify with particularity what the patient's medical condition is and the features of that condition which (in the medical attendant's opinion) prevent participation in the trial process, should provide a reasoned prognosis and should give the court some confidence that what is being expressed is an independent opinion after a proper examination. It is being tendered as expert evidence. The court can then consider what weight to attach to that opinion, and what arrangements might be made (short of an adjournment) to accommodate a party's difficulties. No judge is bound to accept expert evidence: even a proper medical report falls to be considered simply as part of the material as a whole (including the previous conduct of the case). The letter on which the Appellant relies is wholly inadequate."
"ANOTHONY, CAN YOU BLOODY PASS ONTO THIS EMAIL TO MOSTYN WHO HAS BEEN DEALING WITH OTHER PARTY CROOKS ALAGA & CO AND PROSITUTE ANUSHIYA VELUPPILLAI. WHO HAVE GOT HISTORY OF STELING, DISHONEST, COMMITING FRAUD IF YOU HAVE BEEN RUNNING THE HEARING WITHOUT TELLING ME I WILL F**k YOU ALL MOSTYN I WANT THE FUCKING ANSWER NOW. WHERE IOS MY F**KING ORDER AND YOU HAVE BEEN MY HEALTH WORSE THAN IT IS. WANTS THE RESPONSE AND F***ING UPDATE NOW CROOKS …."
"THIS IS MIS-CARRIAGE OF JUSTIC MOSTYN – I WANT THE F**KING UPDATE ON WHAT IS HAPPENING YOU F**KING TALIKIUNG MY HARTD EARNED MONEY MOSTYN WHO THE HELL ARE YOU MAKING DECISION ON MY MONEY. HAVE YOU EARNED THIS FUCKING MONEY. YOU ALL MUST BE EXECUTED IN A GAS CHAMBER. I WANT THE FUCKING RESPONSE NOW."
i) I am satisfied that the husband is a highly talented man in the field of IT. Within a one year period he was able to accumulate a sizeable sum in his newly formed company AVSVAVMV Expert Solutions Ltd. From that company he transferred in a short period the sum of €253,000 to his children. This was to protect his money; it was not a genuine outright transfer.ii) That money was used in part to buy the property at Flat 18, Hayden Court, Feltham. Exclusive of the mortgage the sum of £135,694 was provided to buy it. On the evidence of the wife I am satisfied that this derived solely from the husband. There is no evidence that either the son or the sister had either the means or the capacity to raise this money. I am satisfied that as the contributor of the (non-mortgage) purchase monies the husband is the sole beneficial owner of this property, and I so declare. This finding is binding on the son as he is a party. It is also binding on the sister as DJ Hess on 16 December 2013 made an order requiring the sister to file a witness statement if she wished to claim any legal or beneficial interest in the property in issue. That order was served on her, but she filed no evidence. She has also failed to comply with a third party disclosure order. She is therefore estopped from denying the finding I have made.
iii) The wife told me that her daughter (who seems recently to have shifted her allegiance) had told her that she (the daughter) held at least £200,000 which had been placed with her by the husband. I accept this evidence. It is obvious that the husband has very considerable funds which he has chosen not to disclose within these proceedings.
iv) As mentioned above, the husband has sold all of the wife's jewellery, which was of some considerable value.
v) The skill of the husband, the evidence of the wife, and the conduct of the husband within these proceedings (including the disposal by him of the wife's jewellery) lead me to draw the inference that the husband has undisclosed assets, either held by his sister or children, or elsewhere, of at least £500,000. In reaching this conclusion I have applied the relevant principles relating to the treatment of non-disclosure of assets as set out by me in NG v SG (Appeal: Non-disclosure) [2011] EWHC 3270 (Fam). The figure of £500,000 is in my estimation a very conservative appraisal. I reach this conclusion for the following reasons:
a) As mentioned above in July 2011 the company AVSVAVMV Expert Solutions Ltd was formed. Between September and November 2012 the husband was able to transfer to his children €253,000 from the company. Thus in a short period at least this amount, and probably a great deal more, was accumulated within the company. It is very reasonable to assume that similar sums have been accumulated there or elsewhere since that date.b) As mentioned above this money was in all likelihood the source of the completion monies of £135,694 for Flat 18, Hayden Court, Feltham.c) Again, as mentioned above, the wife told me that her daughter was holding at least £200,000 which derived from the husband.d) The husband has appropriated (and claimed to have sold) the wife's jewellery for £40,000. In addition he has retained other chattels which cost around £150,000, but which are unlikely to be worth that sum. The husband should be treated as having at least £100,000 worth of matrimonial personalty.e) The husband has adamantly refused to give disclosure and has engaged in a number of frankly absurd manoeuvres to try and defeat the wife's claims. Similarly the children and the company (the 2nd – 4th respondents) and the husband's sister have failed to comply with disclosure orders. Where there is a refusal to give disclosure the inevitable inference is that there are undisclosed assets that the non-discloser is trying to protect, and this is particularly so where the principal non-discloser engages in other manoeuvres to seek to defeat the claim.f) In NG v SG (Appeal: Non-disclosure) at para 16(viii) I said, citing Thorpe J in F v F [1994] 3 FLR 359, that:"The Court must be astute to ensure that a non-discloser should not be able to procure a result from his non-disclosure better than that which would be ordered if the truth were told. If the result is an order that is unfair to the non-discloser it is better that than that the Court should be drawn into making an order that is unfair to the Claimant[2]."In fact I do not consider that in finding that the husband has at least £500,000 of undisclosed assets there is any appreciable risk of unfairness to him. I repeat that I am satisfied that this is a conservative estimate.
7 McKenzie Way, Epsom (husband's name) | 1,000,000 |
less mortgage | (478,146) |
less costs of sale | (25,000) |
496,854 | |
Flat 18, Hayden Court, Feltham (son's and sister's name) | 225,000 |
less mortgage | (70,470) |
less costs of sale | (5,625) |
148,905 | |
68 Poplar Road, Ashford (joint names) | 475,000 |
less mortgage | (282,837) |
less costs of sale | (11,875) |
180,288 | |
Madathadi Rd, Vavuniya, Sri Lanka (wife's name) | 12,749 |
less costs of sale | (382) |
12,367 | |
Silva Mawatte, Colombo, Sri Lanka (husband's name) | 60,000 |
less costs of sale | (3,150) |
56,850 | |
Husband's BT pension | 36,304 |
Husband's Oracle pension | 51,714 |
88,018 | |
Husband's undisclosed assets | 500,000 |
TOTAL | 1,483,282 |
i) The transfer of the legal title to and the equity in 7 McKenzie Way: £496,854ii) The transfer of the legal title to and the equity in 68 Poplar Road: £180,288
iii) Retention of her own Sri Lankan property: £12,367
iv) A 50% share of the husband's pensions (expressed as a 85.1% share of the Oracle pension): £44,009
v) Total: £733,518, or 49.5% of the assets.
20.10.1966 | H born (now 49) |
8.7.1967 | W born (now 48) |
31.7.1989 | Marriage |
6.5.1990 | Sureka born (25) |
1990 | Purchase of 1st property, 12 Langdon Road, Eastham in joint names for £60K |
23.06.1991 | Arun born (24) |
1995 | Purchase of 2nd property 2 Lime Tree Drive, Ipswich for £80K, parties lived there |
4.1999 | Sale of Lime Tree Drive for £110K (net equity: £35k) |
4.1999 | Purchase of 68 Poplar Road, Ashford purchased in joint names for £220K using proceeds from Lime Tree Drive, parties lived there. |
03.2002 | Additional borrowing 68 Poplar Road for £285K |
2002 | Sale of 12 Langdon Road for £135K (net equity: £85K) |
18.9.2002 | Purchase of 7 McKenzie Way, Epsom for £620K, H's name, becomes the FMH |
8.2004 | Re-mortgage 7 McKenzie Way for £475K (paid into W's account which H opened) |
2006 | Parties purchase 74 1/6 Silva Mawatte, Colombo for £60K |
6.3.2009 | Separation (20 year marriage) (see H's petition, B5) |
H brings W to India (under guise of travelling to USA) and leaves her there, stranded. H stores valuables from property at "Big Yellow Storage", W says worth £205,172.30. H then removed all items. | |
7 McKenzie Way rented out by H for £2,700 pm (see 26.2.2009 tenancy agreement, [E35]) | |
H leaves the UK | |
07.2009 | W manages to return to the UK, stays with friend |
31.7.2009 | W's petition |
2.10.2009 | W's Form A |
11.12.2009 | FDA – H did not attend |
15.3.2010 | H persuades W to withdraw divorce petition, gets her to sign a letter on assurance he would give her a property to live and jewellery. W later finds out he had forged documents in her name to send to court, solicitors and LSC. |
Nov 2010 | W assaulted by H, put in refuge |
Nov 2010 | W initiates petition again, H fails to engage |
April 2011 | W withdraws petition again, goes to Sri Lanka; finds property rented out |
June 2012 | W returns to UK |
7.2011 | H incorporates AVSVAVMV Expert Solutions Ltd, an IT company. H sole director and shareholder |
21.7.2012 | Alleged 10 year tenancy agreement for 68 Poplar Rd for £440 pm (previous rent £1.5K pm) – to daughter and son in law |
31.7.2012 | H resigns as director [E43] [E94,95] |
1.8.2012 | Alleged 10 year tenancy agreement 7 McKenzie Way for £1,350 pm (previously £2,700 pm), H says 5 year term [E90] |
3.8.2012 | W's application for Non-Molestation Order and Occupation Order |
8.8.2012 | W moves into 7 McKenzie Way, property empty |
10.8.2012 | H sends W text message threatening to kill her and says sold her jewellery etc. [E33] |
14.8.2012 | W's third petition |
20.8.2012 | Charge for £350K put on 7 McKenzie Way in favour of H's sister Vasanthakumari, payable 14.8.2017 [E48]. H says this was because sister funded 11 years studies. |
28.8.2012 | W obtains NMO and Occupation Order re: 7 McKenzie Way, but ultimately unable to enforce |
9.9.12 | H attends 7 McKenzie Way, claims it is rented out (no document produced). W removed by police and becomes homeless |
18.9.2012 | W's Form A (current proceedings) |
20.9.2012 | Judgment in favour of H's sister against H |
9 -11.2012 | H transfers €253K to children from AVSVAVMV Expert Solutions Ltd HSBC account |
10.2012 | H incorporates Infrastructure Experts Consultancy. Later resigns and installs sister as director |
10.2012 | Charge for £100K registered against 68 Poplar Road in favour of H's sister. H says this was because sister loaned £100K for purchase of 7 McKenzie Way |
29.10.2012 | Interim Charging Order in favour of H's sister against 68 Poplar Road for £100,594.99 [C1] pursuant to judgment of 20.9.2012 |
29.10.2012 | W's application for orders under s.37 MCA |
30.11.2012 | DJ Cole - 3rd party disclosure and restraining H from placing further charges or dealing with bank accounts [C2] |
14.12.2012 | DJ Cole - 3rd party disclosure and restraining H [C03] – to consider applications at FDA |
01.2013 | H resigns from AVSVAVMV Expert Solutions Ltd and registers children as directors (after €253K transfers |
2.1.2013 | W's application to set aside charge against 7 McKenzie Way |
17.1.2013 | FDA, DJ Taylor - Order setting aside charge against 7 McKenzie Way for £350K; restraining order on H re charges [C4] |
DJ Taylor – Charge and Interim Charging Order re 69 Poplar Road set aside [C6]; no further applications by sister without permission and only upon prior notice to W | |
11.3.2013 | Order 3rd party disclosure and restraining orders [C7] |
24.3.2013 | H's sister applies to restore charges against properties |
13.5.2013 | H's application to set aside all orders made in proceedings |
28.5.2013 | W's application for MPS |
4.6.2013 | Decree Nisi on W's petition [C10] |
7.6.2013 | DDJ Freeborough on H's sister applications for ICO against properties without notice to W – transferred to Kingston and Staines CC[C15] |
11.6.2013 | Possession hearing 68 Poplar Rd |
17.6.2013 | Possession hearing 7 McKenzie Way - adjourned |
18.6.13 | DJ Parker - H's application of 13.5.13 dismissed; H to file Form E by 4.7.13 with penal notice attached; hearing on 8/9 July reduced to 1 day for disclosure and MPS [C12] |
8.7.2013 | DDJ Freeborough – H receives trial bundle; H's application 24.6.13 dismissed; address for service henceforth by email to mveluppillai@live.com; list Final Hearing 7/8 Jan 2014 [C13] |
9.7.2013 | W's application to set aside transfers |
5.8.2013 | H's appeal against DN |
6.8.2013 | HHJ Atkins – directions on H's appeal [C15] |
19.8.2013 | DJ Cole – H leaves court having been warned about behaviour; 3rd party disclosure and restraining orders; list W's application to set aside transfer on first open day after 28 days; W's further evidence by 25.8.13; H's response by 14.9.13 [C16] |
08.2013 | H's appeal against order of 8.7.2013 |
22.8.2013 | Transfer to PRFD to consider H's appeals [C18] |
2.10.2013 | HHJ Rylance - Order for sale 68 Poplar Road (never implemented) |
15.10.2013 | Order HHJ Plumstead – unless H files by 21.10.13 petition on 2 years separation, his appeals dated 5 and 13 Aug 2013 dismissed. If petition filed, W shall file acknowledgment consenting to petition. Upon pronouncement of DN in new petition, original petition stand dismissed but Form A treated as filed and served in new suit. H shall file and serve Form E by 26.11.2013, failing which he is debarred from filing further evidence [C19] |
28.10.2013 | DJ Smart - Hearing in Kingston re H's sister's application for charging order – no order made to join W today, any further application by H's sister to be on notice [C20] |
30.10.2013 | H's petition for divorce [B1] |
12.2013 | H pays out £25K from Natwest account 484 |
16.12.2013 | Order DJ Hess – H removed from court building due to angry/menacing behaviour. H to answer W's Q're by 30.12.13; H to serve tax returns for 4/2011 – 4/2013 by 2.1.14; if H's sister claims legal or beneficial interest in matrimonial property or that she is owed money by H, she shall file and serve statement in support of position, with documentary evidence and including application for joinder by 1.1.14. Likewise, son and daughter if they seek to challenge W's application to each file and serve statements setting out position, attaching doc evidence, and apply for joinder by 1.1.14 [C21] |
17.12.2013 | Infrastructure pays out £26,230 to Clifton Ingram LLP with ref: "Michael Velluppillai" which H owed following Judgment in Croydon CC |
7.1.2014 | DJ Hay – Final Hearing adjourned, no DN and no CJ available. Transfer to PRFD, H directed to file and serve statement setting out involvement/role within Infrastructure Experts Ltd. and to disclose bank statements for preceding 2 years by 21.1.14. On basis H has failed to respond to W's Q, H debarred from filing any further evidence save as above. [C23] |
28.1.2014 | DJ Smart – H's sister's application again for Interim Charging Order over properties without notice to W. Court refuses application for charging order re: 68 Poplar; refuses to restore legal charge over 7 McKenzie Way and declines to make interim charging order over same pending conclusion of AR proceedings; refuses to transfer sister's claim to be heard with AR proceedings insofar as they are pending in PRFD as PRFD does not have civil enforcement jurisdiction [C24] |
13.2.2014 | DJ Hess - Decree Nisi [B9] |
DJ Hess – list CMC on 24.3.14 and Final Hearing on 28/29.4.14 before HHJ O'Dwyer [C26] | |
24.3.14 | HHJ O'Dwyer – W to file and serve any further evidence by 31.3.14; H to file and serve evidence in response by 7.4.14 (no permission for any further evidence apart from that provided herein); daughter, son and AVSVAVMV Expert Solutions Ltd joined, and shall file and serve any evidence on which they wish to rely re W's application to set aside transfers by 7.4.14; parties and witnesses shall attend hearing on 28.4.14 for XX [C27]. |
28/29.4.2014 | HHJ O'Dwyer – final hearing adjourned. Daughter, son and AVSVAVMV Expert Solutions Ltd fail to attend. Daughter to file and serve medical evidence re fitness to attend by 5.5.14; son and daughter to disclose bank statements from Aug 2012 to date of accounts into which they received payments from 4th R HSBC acc. no. -4726 by 12.5.14, together with statements setting out current location of the funds with doc evidence in support; H's sister as director of AVSVAVMV Expert Solutions Ltd to disclose by 19.5.14 bank statements from Oct 2012 to date of NatWest acc. no. 8484; W's application to set aside transfers adjourned to final hearing; list for CMH on 26.6.14, and final hearing on 26.1.15 for 4 days [C29] |
26.6.14 | HHJ O'Dwyer – 2nd, 3rd, 4th R fail to attend. Time for daughter to comply re disclosure of bank statements by extended to 2.10.14; time for son to comply extended to no later than 4 weeks after personal service of order on him (he was on run from police), penal notice attached; H to file and serve an inventory list of items stored at Big Yellow Self Storage, details of insurance taken and date on which items removed by 31.7.14; H to file and serve legible copy of the deed document re: W's parent's property in Sri Lanka; W to respond by 10.9.14; W and H to file and serve any further evidence they intend to rely at final hearing by 10.9.14; list for CMH 6.10.14 [C32] |
07.2014 | Son and H's sister purchases Flat 18, Hayden Court, Feltham. |
21.8.2014 | DJ Smart – H removed from court having uttered threats to murder W and her counsel; money judgment of 20.9.12 set aside, claim be stayed until further order; W's application for joinder stayed until further order, matter referred to HHJ Mitchell with a view to proceedings against H for contempt [C35] |
6.10.14 | HHJ O'Dywer – 2nd, 3rd, 4th R fail to attend. All communications between H and W's solicitors to be by post only at 7 McKenzie Way. Time for daughter and son to comply re disclosure extended to 27.10.2014, penal notices attached. Should either party fail to comply court will consider making order debarring defaulting party from defending W's application re relevant transfers. H's sister to disclose original bank statements for Infrastructure from Feb 2012 (or date of opening of account) to date, by 27.10.2014. SJE re Madathadi Road, report by 15.12.14. W to file photocopy of her current passport. Statement of H dated 5.4.14 and draft orders dated 10.9.14 and 6.10.14 shall stand as his final evidence. All parties to attend final hearing listed on 26.1.15. [C37] |
6.11.2014 | HHJ O'Dwyer – approves W's letter of instruction to SJE [C41] |
9.12.2014 | Decree Absolute [B10] |
26 – 29.1.15 | Final hearing – adjourned on 29.1.15 when H assaulted W and counsel. Daughter attends day 1 only, son and 4th R fail to attend. H's application for order debarring W from making further applications for disclosure and to discharge added respondents refused. Time for son, daughter and H's sister to comply extended again to 5.2.15; W to file and serve narrative statement explaining photo of her and Mr Karthikeyan by 5.2.15; W to file and serve documentary evidence of outcome of insurance claim by Nicola Rooney and evidence of any monies received including the items subject to the claim and their value by 12.2.15; W's current passport extended 6.2.15; H may call his mother in accordance with her witness statement dated 24.12.13 on day 2 of final hearing; permission SJE for 7 McKenzie Way report by 27.2.15; H may apply to XX valuer of Madathadi Road; questions in writing by 6.2.15 and response by valuer by 20.2.15; transfer to High Court for Final hearing on first open date after 27.2.14 (t/e 4 days); parties to attend to give oral evidence; if H wishes to rely on health as an issue to file medical evidence by earliest of 12.3.15 or two weeks before Final hearing [C47] |
30.1.15 | HHJ Mitchell – H committed to prison for an immediate term 28 days for contempt in face of the court on 21 August 2014[C52] |
21.4.15 | Newton J – H's appeal against DA dismissed. H's appeal against order of HHJ O'Dwyer refusing to bar W from making applications for disclosure adjourned to PTR. Disclosures by BskyB and T-Systems in respect of H's employment or self-employment, SJE for 7 McKenzie Way (Barnard Marcus) and 68 Poplar (Swans), reports by 1.5.15 [C54] |
30.4.15 | Newton J – W at liberty to instruct Haarts to value 68 Poplar Road and Gascoigne-Pee to value 7 McKenzie Way, reports by 15.5.15 [C57] |
2-5.6.15 | Newton J – Final hearing adjourned again, H's ex-parte application alleging notice not received. In any event evidence re valuations will not be available before the date scheduled for PTR, list for FH (t/e 4 days) First open date after 1.8.15, list for PTR on first open day after 1.7.15 [C58] |
8.10.15 | Moylan J – PTR, H sent email alleging due to fatal illness to "confirm no hearings currently scheduled", but H not made formal application, order that Final hearing remains listed for 4 days commencing 26.10.2015; W has permission to rely on valuation from Gascoigne Pees of 7 McKenzie Way, Swans of 68 Poplar Rd, valuation of S.Suresh of Madathadi Road; if H to make application to adjourn to issue by 16.10.2015; permission to serve H by email [C59] |
22.10.15 | Roberts J – H's application to adjourn final hearing dismissed |
26.10.15 | Mostyn J – final hearing |
Note 1 These are just two out of many similar emails; he has sent 45 between 10:30 on 26 October and 08:10 on 28 October 2015 [Back] Note 2 In the report at [2012] 1 FLR 1211 the second sentence has mysteriously been altered in a way that reverses its meaning. It states "If the result is an order that is unfair to the non-discloser it is better that than that the Court should be drawn into making an order that is unfair to the Claimant". Until it is corrected that part of the FLR report should not be relied on. [Back]