Creditors warn Goldberg: go bankrupt or else

MARK Goldberg, the tycoon who lost a pounds 25m fortune in an ill-fated purchase of Crystal Palace football club, has been offered a stark choice by his creditors - go bankrupt or face criminal proceedings, writes Jason Nisse.

The businessman, who made his fortune from computer recruitment, has until 6 December to decide. That is the scheduled date of a High Court hearing at which creditors including Peter Browne, Mr Goldberg's former business partner, and Ron Noades, who sold Crystal Palace to Mr Goldberg, will attempt to have the voluntary arrangement (IVA), which Mr Goldberg agreed with his creditors to avoid bankruptcy, ruled out of order.

The main basis of the challenge is an alleged debt of pounds 7.7m, which Mr Goldberg said he owes to Terry Venables, the former England football coach who briefly managed Crystal Palace. Other creditors claim that Mr Venables is owed no more than pounds 1m. Last month a High Court judge, Mr Justice Jacob, demanded that Mr Venables swear an affidavit detailing the basis of his pounds 7.7m claim. Mr Venables has yet to do this.

Duncan Wiggetts of Herbert Smith, the solicitors representing Mr Browne, said that the other creditors do not want to go to the expense of another hearing and want Mr Goldberg to agree to being made bankrupt on their terms.

And the creditors also have an ace up their sleeve. In a court ruling last month in a case between Mr Browne and Mr Goldberg, Mr Justice Jacob accused Mr Goldberg of lying under oath.

This could lead to a charge of perjury, but neither the judge nor Mr Browne has yet to pass the matter on to the police.

"Mr Browne has not yet made a decision whether to make a complaint," said Mr Wiggetts. "I suspect his feelings will be influenced by Mr Goldberg's reaction to the latest application before the court."

Mr Goldberg's solicitor, Tim Clark of Saunders & Co, described Mr Browne's threats as "a bullying tactic" and said that the decision to prosecute was up to the Crown Prosecution Service.

Mr Goldberg is also considering applying for legal aid so that he can fight his creditors. Mr Clark said that the legal aid forms had been filled in, though not yet sent to the Legal Aid Board.

However, as Mr Goldberg has assets of pounds 5m frozen by an earlier court order, he is unlikely to win legal aid.

Start your day with The Independent, sign up for daily news emails
PROMOTED VIDEO
ebooks
ebooksA year of political gossip, levity and intrigue from the sharpest pen in Westminster
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Recruitment Genius: Tax Assistant

Negotiable: Recruitment Genius: A Tax Assistant is required to join a leading ...

Recruitment Genius: Outbound Sales Executive - OTE £25,000

£16000 - £25000 per annum: Recruitment Genius: This is an exciting opportunity...

Ashdown Group: Java Developer / J2EE Developer - Watford - £45,000 - £47,000

£45000 - £47000 per annum + bonus + benefits: Ashdown Group: Java Developer / ...

Ashdown Group: Marketing Product Manager - (Financial Services) - SW London

£35000 - £38000 per annum + Benefits: Ashdown Group: Marketing Manager - Marke...

Day In a Page

Iraq invasion 2003: The bloody warnings six wise men gave to Tony Blair as he prepared to launch poorly planned campaign

What the six wise men told Tony Blair

Months before the invasion of Iraq in 2003, experts sought to warn the PM about his plans. Here, four of them recall that day
25 years of The Independent on Sunday: The stories, the writers and the changes over the last quarter of a century

25 years of The Independent on Sunday

The stories, the writers and the changes over the last quarter of a century
Homeless Veterans appeal: 'Really caring is a dangerous emotion in this kind of work'

Homeless Veterans appeal

As head of The Soldiers' Charity, Martin Rutledge has to temper compassion with realism. He tells Chris Green how his Army career prepared him
Wu-Tang Clan and The Sexual Objects offer fans a chance to own the only copies of their latest albums

Smash hit go under the hammer

It's nice to pick up a new record once in a while, but the purchasers of two latest releases can go a step further - by buying the only copy
Geeks who rocked the world: Documentary looks back at origins of the computer-games industry

The geeks who rocked the world

A new documentary looks back at origins of the computer-games industry
Belle & Sebastian interview: Stuart Murdoch reveals how the band is taking a new direction

Belle & Sebastian is taking a new direction

Twenty years ago, Belle & Sebastian was a fey indie band from Glasgow. It still is – except today, as prime mover Stuart Murdoch admits, it has a global cult following, from Hollywood to South Korea
America: Land of the free, home of the political dynasty

America: Land of the free, home of the political dynasty

These days in the US things are pretty much stuck where they are, both in politics and society at large, says Rupert Cornwell
A graphic history of US civil rights – in comic book form

A graphic history of US civil rights – in comic book form

A veteran of the Fifties campaigns is inspiring a new generation of activists
Winston Churchill: the enigma of a British hero

Winston Churchill: the enigma of a British hero

A C Benson called him 'a horrid little fellow', George Orwell would have shot him, but what a giant he seems now, says DJ Taylor
Growing mussels: Precious freshwater shellfish are thriving in a unique green project

Growing mussels

Precious freshwater shellfish are thriving in a unique green project
Diana Krall: The jazz singer on being friends with Elton John, outer space and skiing in Dubai

Diana Krall interview

The jazz singer on being friends with Elton John, outer space and skiing in Dubai
Pinstriped for action: A glimpse of what the very rich man will be wearing this winter

Pinstriped for action

A glimpse of what the very rich man will be wearing this winter
Russell T Davies & Ben Cook: 'Our friendship flourished online. You can share some very revelatory moments at four in the morning…'

Russell T Davies & Ben Cook: How we met

'Our friendship flourished online. You can share some very revelatory moments at four in the morning…'
Bill Granger recipes: Our chef serves up his favourite Japanese dishes

Bill Granger's Japanese recipes

Stock up on mirin, soy and miso and you have the makings of everyday Japanese cuisine
Michael Calvin: How we need more Eric Cantonas to knock some sense into us

Michael Calvin's Last Word

How we need more Eric Cantonas to knock some sense into us