British Home Stores went into Receivership barely 12 months after being bought from Phillip Green for One Pound Stg !
In theory Green lost his shirt but its not that straightforward; is anything when it comes to the wheeling and dealings of Sir! Phillip Green.
He bought BHS in 2000 for 201 Million., included in this was 106 Million for BHS properties. In 2015 when he sold out to Retail Acquisitions, his Jersey registered company got paid 70 Mil for these properties. During the years he owned BHS they paid 11 Mil pa rental for these same Jersey company owned properties!
In addition some 400 Mil in dividends were paid to Arcadia, which also owns high street names such as Dorothy Perkins, Topshop and is technically owned by Phillip’s wife, Tina, who is resident in Monaco. In total in the 2000s she was paid 1.2 Billion in dividends All Tax Free.!
And they are so much fun ! real party animals; 200 guests flown to Cyprus for his 50th. Then for his 55th, two jetloads flown from Stansted to the Maldives. When they get a chance to relax they do so on Lionheart their 20 Mil yacht.
Back to the 11,000 employees whose Pension Account (mostly built up <or not built up> during the 15 years Phillip owned/fleeced BHS) is short to the tune of 571 Mil !! Phillip offered a miserly 40 Mil and a “loan” of 40 Mil, securely by BHS properties. The Pension Account will now be taken over by the Pensions Board / Commission who no doubt will be looking for a lot more from Phillip. I reckon they can go “whistle for their supper”, since he & Tina will have their few bobs safely secreted away in a variety of tax havens, I suspect.
And its all legal, but is it fair? In a survey carried out by BBC in 2011 some 84% agreed that the Gov’t should crack down on tax avoidance which was defined as “people & businesses who arrange their financial affairs to minimise the amount of tax they pay while remaining within the law”