High Court case for Blues owners
Birmingham owner Carson Yeung and the former Blues boardroom are embroiled in an ugly £9million battle after their cash row entered the High Court.
Birmingham owner Carson Yeung and the former Blues boardroom are embroiled in an ugly £9million battle after their cash row entered the High Court.
Hong Kong-based Yeung and his board took their claim of £7million to the High Court on Tuesday, after being unhappy with the financial situation they inherited when they bought Blues for £80million last October.
David Sullivan, who now owns West Ham with David Gold, had hoped for an amicable agreement but reckons Yeung has forced his hand to counter sue for £2million of unpaid monies.
He said: "Unfortunately as they started it we'll be issuing writs ourselves. We will be counter-suing for several million."
The legal battle could last up to two years. Sullivan hit out after the current Blues regime made a series of allegations against him, former co-owner Gold, ex-chief executive Karren Brady and board members Ralph Gold and Roger Bannister.
They claim director duties were breached by "improperly enriching" themselves at the expense of the club.
The High Court papers suggest payments to a British Virgin Islands company were approved by Sullivan for £50,000 for scouting duties for the 2004/2005 season, £55,000 the following year and £120,000 for 2006/07.
They also claimed Blues paid an invoiced sum of £1.175million to Sport Newspapers, formerly owned by Sullivan and the Golds.



