Reform UK treasurer Nick Candy’s company is seeking millions in damages from a technology start-up which claimed to be the “next Facebook” following a “clear and straightforward case of fraud”, the High Court has been told.

Candy Ventures Sarl (CVS), a portfolio of companies founded by Mr Candy, is taking legal action against Dutch businessman Robert Bonnier over allegations he “lied” to “deceive” it into investing around 7.5 million euro (£6.5 million) in Aaqua BV, which he directs.

Mr Candy, who was announced as Reform’s treasurer in December last year, owns 90% of CVS.

Barristers for the company told a trial on Tuesday that Mr Bonnier claimed Apple and LVMH Moet Hennessy Louis Vuitton (LVMH) were set to invest one billion US dollars in Aaqua, and as a result, CVS swapped shares in podcasting firm Audioboom for “worthless” shares in Aaqua.

It is asking a court to rescind the investment or order Mr Bonnier and Aaqua to pay £5.7 million in damages.

Mr Bonnier is representing himself at trial and in August was blocked from defending the claim for breaching court orders, with barristers for CVS telling the court he was “restricted to attendance and making oral submissions” and was “not allowed to advance any factual case”.

He has told the court that while he “overstated the prospects of an investment” into Aaqua, he did not believe CVS would “rely” on it.

In written submissions for the trial in London, Jonathan Nash KC, for CVS, said: “In late 2020/early 2021, Mr Bonnier lied to CVS, time and again, both orally and in writing, to deceive it into investing in his company, Aaqua.

“He told CVS that he had discussed Aaqua with two of the world’s biggest names, Apple and LVMH, and believed that they would invest in the company.”

He continued: “In fact, and as Mr Bonnier well knew, none of that was true.”

He added: “As a result of his flagrant fraud, CVS, like other sophisticated investors, was duped into investing in Aaqua.”

Mr Nash told the court Aaqua, which is now insolvent, was established in the Netherlands in 2020 to develop a “new social media software application”.

Mr Bonnier is claimed to have told Mr Candy and Steven Smith, CVS’s executive director, that Apple and LVMH were set to invest in Aaqua, which Mr Smith told the court was “completely fundamental” to CVS’s decision to invest.

Mr Candy met Mr Bonnier in Dubai in January 2021.

Mr Nash claimed Mr Bonnier said he personally knew Apple chief executive Tim Cook and LVMH chairman Bernard Arnault, and told Mr Smith that Aaqua would be the “next Facebook”.

CVS agreed in February 2021 to transfer 1.5 million shares in podcasting firm Audioboom to Aaqua, worth around £6.5 million.

It also agreed to purchase 15,000 Aaqua shares, which were believed to be worth around 7.5 million euro (£6.5 million), but Mr Nash said the value of these was “false and artificial, induced, as it was, by Aaqua and Mr Bonnier’s fraud”.

Following this, Mr Bonnier told Mr Candy on WhatsApp that Apple’s investment was “a foregone conclusion”, but the investment never occurred, Mr Nash said.

Mr Nash said by the summer of 2022, “CVS’s patience had run out”, and when Mr Smith asked Mr Bonnier about the situation, he responded that he was “simply no longer comfortable talking about founder partner relationships”, with legal proceedings being launched that year.

The barrister said Mr Bonnier had since said he had only met Mr Cook once, in 1999, and only met Mr Arnault at “large social gatherings”, adding Mr Bonnier knew his claims were false and “intended to mislead” CVS.

The court was told Mr Bonnier claims he did not believe that Apple and LVMH’s supposed investment caused CVS to invest, which Mr Nash denied.

Mr Nash said in court that Mr Bonnier claims he did not say Apple and LVMH were involved, and “all he did was express his aspiration that he could get Apple and LVMH on board”.

But the barrister said the businessman “went much further than that”, stating: “What was said and what was said dishonestly, and what was highly material to my client’s view of this investment, was that there were active discussions with Apple and LVMH which could reasonably be expected to lead to investment.”

In written submissions, Mr Bonnier admitted “selling his aspirations for Aaqua very enthusiastically, and occasionally perhaps going too far in those efforts”.

But he said he had a “proven track record of ‘pulling off the impossible’ and creating substantial value for shareholders”.

He said: “However, it was always understood that ultimately the claimant would form their own independent views on whether the founder’s vision would be achieved.”

The Dutchman also said CVS had “expressly stated and agreed that it would conduct its own diligence on the specific point of the likelihood of an investment” by Apple and LVMH.

He continued: “The claimant suffered no loss as a result of its investment; any loss it did suffer was brought about by the claimant’s own actions.”

The trial before Mr Justice Bright is set to conclude later this week.

NEW DELHI: Union Commerce and Industry Minister Piyush Goyal indicated on Tuesday that the government is maintaining contact with the United States at various levels concerning the proposed Bilateral Trade Agreement (BTA), suggesting potential progress towards the agreement.The minister, however, avoided specifying any timeline for completing the BTA negotiations, noting that discussions continue without fixed deadlines. “Our talks with the United States are ongoing continuously. Contacts are maintained at different levels. We never negotiate based on deadlines. The possibilities are full. Every possibility exists. Currently, the US government is in shutdown mode. In light of that, we’ll have to see how, where, and when the talks can take place,” the Union Minister stated during his Qatar visit.

This comes just two days external affairs minister S Jaishankar clarified India’s stance, talking about ‘respecting the red lines’. Acknowledging that there are “problems” and “issues” in the India-US relationship that need resolution, Jaishankar said on Sunday that any understanding on bilateral trade “has to be (one) where our bottom lines, our red lines are respected.” “There has got to be a trade understanding with US. But… in any agreement, there are things you can negotiate and things you can’t,” he added, asserting that India will not compromise on matters affecting the interests of farmers, small-scale industries, and fishermen.

Trade talks with EU

Meanwhile, regarding Free Trade Agreement (FTA) discussions with the European Union, Goyal said, “There are very good discussions going on between EU and India in Brussels. Our entire team is there.” He shared positive views about the partnership between the $20 trillion European Union comprising 27 nations and India, currently the fastest growing large economy globally.Goyal highlighted the advantages both partners bring: India’s youthful, skilled workforce alongside the EU’s technological and innovative capabilities. “We are hoping to work together in a spirit of deep understanding of each other’s sensitivities so that we can conclude a very equitable, fair and balanced free trade agreement between the $20 trillion European Union of 27 countries and India, the fastest growing large economy in the world today, we complement each other,” he stated.Goyal further added, “Our young, talented and skilled population is a great resource for the European Union who needs talented young people. The innovation and technology base that European Union has holds tremendous potential for Indian businesses and jointly the European Union companies and Indian companies can leverage each other’s strengths so that we can serve the world together.”He announced that Commerce Secretary Rajesh Agarwal would visit Brussels to meet his counterpart after the current discussions conclude, planning the next steps.Addressing the FTA timeline, Goyal said, “I have often said that we neither do negotiations with a deadline, nor do we like to unnecessarily delay negotiations. So we will make every endeavor to meet the leaders expectations and complete the negotiations before the end of the year and I see tremendous potential and possibility.”

New Delhi: Maharashtra Cabinet, chaired by Chief Minister Devendra Fadnavis, on Tuesday, approved the State Gems and Jewellery Policy-2025, intending to boost the growth of industries and businesses related to gold, silver jewellery, diamonds and gems.

The government further expects an investment of Rs 1 lakh crore and the creation of five lakh jobs in this sector.

The Cabinet also cleared the policy for wastewater treatment in urban areas of the state. The circular economy will be promoted through wastewater treatment and its recycling. The concept of sustainable management of wastewater, environmental protection, and a healthy environment will be strengthened. The policy will be implemented in 424 urban local bodies of the state.

The Cabinet approved to amend the Maharashtra Prohibition of Partition of Holding Lands and their Consolidation Act, 1947. The provision in section 8 (b) of the Act will be omitted, and a new provision will be inserted after sub-section (3) in section 9.

In a bid to further give much-needed push to slum rehabilitation schemes for making Mumbai slum free, the Cabinet approved the implementation of a Slum Cluster Redevelopment Scheme for slum redevelopment.

Further, the Cabinet also approved to provide 2 hectares 38 acres of land in Mouja Badnera for 30 years to Amravati Municipal Corporation for an e-bus depot and charging system under the Central government-sponsored PME Bus Scheme.

The Cabinet decided to implement the revised In-Service Assured Progress Scheme with 2 benefits for non-teaching employees of private aided primary, upper primary, secondary residential ashram schools of the Vijayabhaj category, residential ashram schools for the sons and daughters of sugarcane workers and Vidyaniketan ashram schools run by NGOs. Non-teaching employees of such 980 ashram schools will get the benefits.

The Cabinet approved the implementation of an electricity subsidy of Rs 3 per unit for private spinning mills as per the cooperative spinning mills under the Integrated and Sustainable Textile Policy, 2023-28. Spinning mills in clusters will get relief under the State Industrial Cluster Development Scheme.

Further, Power loom owners will have to register on the Textiles Commissionerate portal to avail the electricity subsidy. Registration will have to be done within six months of the issuance of the government decision.

The Cabinet also approved the Senior Civil Court at Akole in Ahilyanagar district with nod for the necessary posts for this court.