View more on these topics

Barclays sued by property developers over revaluation

Appeal-Court-High-Court-Building--700x450.jpg

Vale Heritage Developments is suing Barclays Bank for more than £200,000 after the lender overruled a valuation and ordered a site to be revalued.

Papers filed at the High Court say that in 2005, Vale bought a farm to develop with the help of a £570,000 Barclays commercial loan, later increased to £980,000.

Strutt & Parker, working for Vale, valued the farm at £1.05m in 2008.

However, Vale claims that in 2009 Barclays thought the £1.05m was a misrepresentation. The lender then had the site re-valued at £500,000 through former real estate servicing firm DTZ.

The court papers say: “The misrepresentation that Pennant Farm had a value of £500,000 was untrue, in that the market value of Pennant Farm in or around July 2009 was considerably in excess of £500,000.”

Vale claims Barclays has not revealed a copy of the DTZ valuation despite being asked to do so.

Vale points out that sections of the farm were sold for £430,000 in March and April 2010.

Vale says it is suffering ongoing losses so does not have a total figure it wants from Barclays.

However, the firm is certain it wants more than £200,000 from the lender, the maximum bracket available in UK civil courts.

A Barclays spokesman says: ““As this matter is subject to ongoing litigation, it would inappropriate for us to make any comment except to say that Barclays is defending the claim.”

Vale is owned by Glyn Goodwin and his ex-wife Carol as joint owners of parent firm Special Care.

Vale were not available for comment at the time of publication.

Recommended

barclays-building-2012-700x450.jpg

Ex-Barclays trio convicted of Libor rigging launch appeal

Three Barclays bankers found guilty of Libor rigging last month have appealed their convictions. Jonathan Mathew, Alex Pabon and Jay Merchant were convicted of conspiracy to defraud by means manipulating US-linked Libor, City AM reported this morning. Their offending took place between 1 June 2005 and 1 September 2007. Matthew and Merchant will also appeal their […]

barclays-building-2012-700x450.jpg

Barclays cuts residential stress test by 0.25%

Barclays has cut its residential mortgage stress test rate by 0.25 per cent to 6.74 per cent. The cut takes place immediately and mirrors the Bank of England base rate cut from 0.50 per cent to 0.25 per cent last week. A Barclays broker note says the new stress test rate applies to standard residential […]

US-flag

Barclays coughs up another £77m over rate rigging

Barclays has reached a £77m settlement with 44 US states over its role in fixing Libor and Euribor interest rates. New York’s Attorney General Eric Schneiderman announced the deal, saying government bodies were “defrauded of millions” when they entered swap contracts with the bank, Sky reports. Barclays was fined £290m in 2012 by US and […]

Insurance - thumbnail

Consumer attitudes to protection

Royal London commissioned Opinium to run our State of the Protection Nation research to find out how people felt about their own protection needs and the industry as a whole. By Ross Jackson, Senior Protection Marketing Manager We surveyed people who had already taken out some kind of protection insurance and those who didn’t have […]

Thumbnail

Case study: administration — managing group life schemes

Our client leads the global market in high-tech electronics manufacturing and digital media. The trustees of the company’s final salary pension scheme insure death-in-service lump sum and dependants’ pension death benefits for active employees, as well as dependants’ pension benefits for deferred members (those who have left service).

Newsletter

News and expert analysis straight to your inbox

Sign up