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Reform UK treasurer Nick Candy has won a long-running and bitter court battle against technology entrepreneur Robert Bonnier, whom he accused of making “fraudulent misrepresentations” to secure an investment into a social media start-up.
Candy’s investment vehicle Candy Ventures launched legal proceedings against Bonnier and his group Aaqua after making an investment in the fledgling company in 2021. The lawsuit alleged Bonnier had falsely claimed that tech giant Apple and luxury group LVMH were in advanced discussions to invest in Aaqua.
In a High Court judgment on Wednesday, Mr Justice Robert Bright upheld the claim, awarding Candy Ventures damages of £4.6mn plus interest against Bonnier and Aaqua, as well as an award of costs.
The judge also found that Bonnier had lied “repeatedly and determinedly” in order to secure the investment from Candy’s company.
According to Candy Ventures, Bonnier claimed to have had “significant discussions” with Apple and LVMH about investments into Aaqua, that negotiations were at an “advanced stage” and that there were binding conditions that would lead to them investing.
After claiming to have met with Apple in March 2021, Bonnier told Candy in a WhatsApp message that the tech giant was “192 per cent committed for €1.1bn”.
Candy — who, with his brother Christian, led the development of London’s luxury One Hyde Park complex before his foray into British politics — told the court that Candy Ventures invested in Aaqua because it believed Apple and LVMH were already committed to investing.
“I am satisfied not only that the representations were false, but also that Mr Bonnier knew them to be false,” said Judge Bright in the judgment.
Bonnier “told his lies in order to induce [Candy Ventures] to invest in Aaqua”, the judgment adds. “He knew that the involvement of prestigious companies such as Apple and LVMH would add cachet and credibility to Aaqua.”
Bonnier, who rose to prominence as chief executive of Scoot.com during the dotcom boom, had formulated grand plans for Aaqua. A Financial Times investigation into Aaqua last year revealed that an internal budget plan included an expected $800mn investment from Apple. After suffering a mild heart attack, Bonnier had also told associates how Apple chief executive Tim Cook had recommended a cardiac specialist for him.
Candy Ventures made its investment in Aaqua by exchanging 1.5mn shares in listed podcast publisher Audioboom for shares in Aaqua, the court previously heard.
Justice Bright found that Bonnier had an “urgent need” for income and that Aaqua was, in effect, financed by selling Audioboom shares. Candy’s company alleged that Bonnier spread rumours about a takeover of Audioboom to push up the share price.
In 2022, Aaqua, which is now insolvent, made most of its staff redundant, while its Singapore holding company sought protection from creditors.
During a hearing on Wednesday, Bonnier told the court that his net wealth before meeting Candy was £250mn, whereas it was now “substantially below zero”.
Following the judgment, Candy told the FT that he intended to launch private criminal prosecutions against Bonnier in several jurisdictions.
Bonnier did not immediately respond to a request to comment.