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| Vincent Tchenguiz 'spied on his own spies' | Vincent Tchenguiz 'spied on his own spies' |
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| Vincent Tchenguiz made "surreptitious recordings" in order to spy on ex-Israeli intelligence officers he had drafted in to his Mayfair offices to help fight a string of legal battles, the Guardian has learned. | Vincent Tchenguiz made "surreptitious recordings" in order to spy on ex-Israeli intelligence officers he had drafted in to his Mayfair offices to help fight a string of legal battles, the Guardian has learned. |
| The revelation that the Conservative party donor had spied on some of the closest members of his entourage comes two months after he kicked the intelligence experts, trading as Black Cube, out of his Park Lane office and his nearby £15m home. | The revelation that the Conservative party donor had spied on some of the closest members of his entourage comes two months after he kicked the intelligence experts, trading as Black Cube, out of his Park Lane office and his nearby £15m home. |
| Tchenguiz has accused them of defrauding him, while they in turn claim that he has breached a contract with them. Both deny the tit-for-tat allegations made against each side. | Tchenguiz has accused them of defrauding him, while they in turn claim that he has breached a contract with them. Both deny the tit-for-tat allegations made against each side. |
| In papers lodged at the high court, Black Cube's finance director, Avi Yanus, said: "Mr Tchenguiz told [Black Cube chief executive Daniel] Zorella – as he had also indicated to me – that his alleged concerns had been based on surreptitious recordings he made of private and confidential conversations between me and Mr Zorella and conversations between other employees of Black Cube." | In papers lodged at the high court, Black Cube's finance director, Avi Yanus, said: "Mr Tchenguiz told [Black Cube chief executive Daniel] Zorella – as he had also indicated to me – that his alleged concerns had been based on surreptitious recordings he made of private and confidential conversations between me and Mr Zorella and conversations between other employees of Black Cube." |
| Tchenguiz confirmed the recordings were made as part of an investigation into Black Cube's conduct. | Tchenguiz confirmed the recordings were made as part of an investigation into Black Cube's conduct. |
| As part of its claim against Tchenguiz, Black Cube detailed the unusually close relationship that its staff had reputedly formed with Tchenguiz before the falling out. Yanus said Black Cube had been at the "core of his entourage" after they were drafted into his Mayfair base almost three years ago. | As part of its claim against Tchenguiz, Black Cube detailed the unusually close relationship that its staff had reputedly formed with Tchenguiz before the falling out. Yanus said Black Cube had been at the "core of his entourage" after they were drafted into his Mayfair base almost three years ago. |
| In court filings he said: "Mr Tchenguiz likes to have an entourage surrounding him and for a long period of time ... the employees of Black Cube formed the core of his entourage. He would refer to other people on the margins of his entourage as disloyal and would not let them join his private conversations or eject them from his company entirely." | In court filings he said: "Mr Tchenguiz likes to have an entourage surrounding him and for a long period of time ... the employees of Black Cube formed the core of his entourage. He would refer to other people on the margins of his entourage as disloyal and would not let them join his private conversations or eject them from his company entirely." |
| Black Cube was not well liked by some of Tchenguiz's other advisers, the documents state. Referring to the collapse of talks exploring a potential investment by Tchenguiz in Black Cube, Yanus said: "I believe that other advisers of Mr Tchenguiz were hostile to the agreement being concluded and indeed wanted to get rid of Black Cube altogether". A spokesman for Tchenguiz said: "Any hostility was well placed and justified." | Black Cube was not well liked by some of Tchenguiz's other advisers, the documents state. Referring to the collapse of talks exploring a potential investment by Tchenguiz in Black Cube, Yanus said: "I believe that other advisers of Mr Tchenguiz were hostile to the agreement being concluded and indeed wanted to get rid of Black Cube altogether". A spokesman for Tchenguiz said: "Any hostility was well placed and justified." |
| Originally operating out of Tel Aviv, Black Cube was drafted in to play an important role in multiple legal disputes involving Tchenguiz-linked companies, which threatened to engulf the businessman's multi-billion pound investment empire. | Originally operating out of Tel Aviv, Black Cube was drafted in to play an important role in multiple legal disputes involving Tchenguiz-linked companies, which threatened to engulf the businessman's multi-billion pound investment empire. |
| These disputes emerged in the wake of the 2008 failure of Icelandic bank Kaupthing, from which he and his brother Robert Tchenguiz had borrowed huge sums. | These disputes emerged in the wake of the 2008 failure of Icelandic bank Kaupthing, from which he and his brother Robert Tchenguiz had borrowed huge sums. |
| At one stage both brothers had been incorrectly suspected of a corrupt relationship with former Kaupthing executives, leading to now notorious raids by the Serious Fraud Office two years ago. | At one stage both brothers had been incorrectly suspected of a corrupt relationship with former Kaupthing executives, leading to now notorious raids by the Serious Fraud Office two years ago. |
| Black Cube helped build the successful challenge to the SFO raids, which were declared unlawful last year. A judge said there had never been grounds to pursue an investigation into Vincent Tchenguiz. Search warrants used on his brother were also quashed and the SFO later abandoned that inquiry too. | Black Cube helped build the successful challenge to the SFO raids, which were declared unlawful last year. A judge said there had never been grounds to pursue an investigation into Vincent Tchenguiz. Search warrants used on his brother were also quashed and the SFO later abandoned that inquiry too. |
| Since then, Vincent Tchenguiz has launched a £200m claim for aggravated and exemplary damages against the anti-fraud agency. He has also hinted that this could be the first of a series of legal actions against parties who he believes have wronged him since the failure of Kaupthing. | Since then, Vincent Tchenguiz has launched a £200m claim for aggravated and exemplary damages against the anti-fraud agency. He has also hinted that this could be the first of a series of legal actions against parties who he believes have wronged him since the failure of Kaupthing. |
| Black Cube claim Tchenguiz regularly bragged that these actions – called Operation Athena by the businessman – could recover £500m. Yanus said: "Every few weeks Mr Tchenguiz would say … if he recovered £500m, Black Cube would receive £5m." | Black Cube claim Tchenguiz regularly bragged that these actions – called Operation Athena by the businessman – could recover £500m. Yanus said: "Every few weeks Mr Tchenguiz would say … if he recovered £500m, Black Cube would receive £5m." |
| Also under consideration was a film about Tchenguiz's battle with the SFO. Black Cube claims that 1% of the film's proceeds were promised to the intelligence firm. | Also under consideration was a film about Tchenguiz's battle with the SFO. Black Cube claims that 1% of the film's proceeds were promised to the intelligence firm. |
| Black Cube claim this promise was reiterated by Tchenguiz at a party held in June last year to celebrate after the SFO dropped its criminal investigation. "In the course of this party, I said to Mr Tchenguiz words to the effect of: 'What about Black Cube?' Mr Tchenguiz responded: 'You got your 1%'." The investment tycoon was well known for large parties in Mayfair and aboard his yacht in Monaco. He was also a regular visitor to Mayfair nightclub Annabel's. | Black Cube claim this promise was reiterated by Tchenguiz at a party held in June last year to celebrate after the SFO dropped its criminal investigation. "In the course of this party, I said to Mr Tchenguiz words to the effect of: 'What about Black Cube?' Mr Tchenguiz responded: 'You got your 1%'." The investment tycoon was well known for large parties in Mayfair and aboard his yacht in Monaco. He was also a regular visitor to Mayfair nightclub Annabel's. |
| Tchenguiz insists Black Cube never had an entitlement to 1% of Project Athena. | Tchenguiz insists Black Cube never had an entitlement to 1% of Project Athena. |
| According to its website, Black Cube provides "creative intelligence" and claims to specialise in "untangling complex setbacks and creating unique business opportunities". | According to its website, Black Cube provides "creative intelligence" and claims to specialise in "untangling complex setbacks and creating unique business opportunities". |
| Recordings of private conversations between Black Cube staff are understood to have been made in Tchenguiz's offices, which he shared with the intelligence experts until their departure. | Recordings of private conversations between Black Cube staff are understood to have been made in Tchenguiz's offices, which he shared with the intelligence experts until their departure. |
| Tchenguiz is thought to have been advised that the surveillance was lawful, because he believed he had grounds to suspect Black Cube. | Tchenguiz is thought to have been advised that the surveillance was lawful, because he believed he had grounds to suspect Black Cube. |
| It is not the first time Tchenguiz has fallen out with figures close to him and accused them of defrauding him. Last year he was embroiled in a legal dispute with his former head of IT, Keyvan Rahimian. The two had grown up as family friends in pre-revolution Iran and Rahimian lived in the Tchenguiz home for nine years before the falling out in 2008. | It is not the first time Tchenguiz has fallen out with figures close to him and accused them of defrauding him. Last year he was embroiled in a legal dispute with his former head of IT, Keyvan Rahimian. The two had grown up as family friends in pre-revolution Iran and Rahimian lived in the Tchenguiz home for nine years before the falling out in 2008. |
| Amid another flurry of claims and counter claims, Tchenguiz had alleged Rahimian had stolen from him. In turn, his former friend said the investment tycoon had reneged on promises to give him stakes in various investments. | Amid another flurry of claims and counter claims, Tchenguiz had alleged Rahimian had stolen from him. In turn, his former friend said the investment tycoon had reneged on promises to give him stakes in various investments. |
| In evidence, Rahimian alleged he had been instructed to install "spying software" on the phone of an unnamed individual who he believed did not work for Tchenguiz. He described this as a "hacked mobile phone" and said he had installed the software on three other phones handed to him by Tchenguiz's legal team. | In evidence, Rahimian alleged he had been instructed to install "spying software" on the phone of an unnamed individual who he believed did not work for Tchenguiz. He described this as a "hacked mobile phone" and said he had installed the software on three other phones handed to him by Tchenguiz's legal team. |
| A settlement was reached before Tchenguiz gave his side of the story to the court. Tchenguiz told the Guardian on Friday there was no truth in these allegations. | A settlement was reached before Tchenguiz gave his side of the story to the court. Tchenguiz told the Guardian on Friday there was no truth in these allegations. |
| During the hearing lawyers for Tchenguiz accused Rahimian of using the dispute over investments as a cover to air in open court "salacious" claims he thought would be embarrass him into a settlement. In particular, the lawyers pointed to a claim that money transfers had been made, using Rahimian's account, to pay for "eastern European models to come to the UK". | During the hearing lawyers for Tchenguiz accused Rahimian of using the dispute over investments as a cover to air in open court "salacious" claims he thought would be embarrass him into a settlement. In particular, the lawyers pointed to a claim that money transfers had been made, using Rahimian's account, to pay for "eastern European models to come to the UK". |
| Another formerly close business partner to have had an uncomfortable exit from Tchenguiz's Park Lane offices is Nicola Horlick. Her Bramdean asset management operation was invited to base itself there at the start of 2008. But the following year Tchenguiz and Horlick had fallen out and after a high-profile row over the direction of her stock-market listed fund, in which Tchenguiz was the biggest investor, Horlick eventually lost the management contract for Bramdean Alternatives. | |
| Also in 2009, Tchenguiz was sucked into a bitter row over the hacking of private computer files belonging to his brother-in-law Vivian Imerman. The hack, which took place on nine occasions and involved vast number of documents, was instigated by Vincent's brother Robert Tchenguiz, who shared another Mayfair office with Imerman, and was part of an effort to help his sister in a divorce proceedings. | Also in 2009, Tchenguiz was sucked into a bitter row over the hacking of private computer files belonging to his brother-in-law Vivian Imerman. The hack, which took place on nine occasions and involved vast number of documents, was instigated by Vincent's brother Robert Tchenguiz, who shared another Mayfair office with Imerman, and was part of an effort to help his sister in a divorce proceedings. |
| In an appeal court ruling in 2010 Lord Neuberger ruled the stolen downloads could not be used by Lisa Tchenguiz Imerman, adding it seemed quite possible the affair "involved breach of statutory duty and statutory crimes". He said: "It would be offensive if a judge effectively sanctioned [a wife] (or her brother) hacking into her husband's computer records." Of Vincent Tchenguiz's involvement in the affair, the judge found he "was aware of what was going on, and was shown copies of some of the material". | In an appeal court ruling in 2010 Lord Neuberger ruled the stolen downloads could not be used by Lisa Tchenguiz Imerman, adding it seemed quite possible the affair "involved breach of statutory duty and statutory crimes". He said: "It would be offensive if a judge effectively sanctioned [a wife] (or her brother) hacking into her husband's computer records." Of Vincent Tchenguiz's involvement in the affair, the judge found he "was aware of what was going on, and was shown copies of some of the material". |
| Vincent Tchenguiz – who has had to prove that very serious criminal allegations against him were baseless – has received large amounts of negative press which has had an impact on his ability to do business. As part of efforts to minimise this coverage, he has used the services of Reputation.com, a firm specialising in marginalising negative internet postings as they appear on Google searches. | Vincent Tchenguiz – who has had to prove that very serious criminal allegations against him were baseless – has received large amounts of negative press which has had an impact on his ability to do business. As part of efforts to minimise this coverage, he has used the services of Reputation.com, a firm specialising in marginalising negative internet postings as they appear on Google searches. |
| Among the services offered by Reputation.com, according to its website, boast that "by strategically influencing the volume of natural [Google] searches we can replace the negative search suggestions with positive and neutral keywords, making them seem more popular". | Among the services offered by Reputation.com, according to its website, boast that "by strategically influencing the volume of natural [Google] searches we can replace the negative search suggestions with positive and neutral keywords, making them seem more popular". |
| Tchenguiz, a financial engineer who has a history of complex property investments, is known to have used the services of several private intelligence firms. As well as Black Cube, he also hired a small firm called Hermes Forensic, which included a former UK police officer, to help with his legal battles. | Tchenguiz, a financial engineer who has a history of complex property investments, is known to have used the services of several private intelligence firms. As well as Black Cube, he also hired a small firm called Hermes Forensic, which included a former UK police officer, to help with his legal battles. |
| Last December, Tchenguiz took a 20% stake in another Mayfair firm Quintel Intelligence, run by former Special Forces director Maj Gen John Holmes. | Last December, Tchenguiz took a 20% stake in another Mayfair firm Quintel Intelligence, run by former Special Forces director Maj Gen John Holmes. |
| He has also made investments in Israeli firm Businesscope Business Intelligence and web intelligence firm Terrogence. "Vincent believes that there is money to be made – honestly – in the sector and that it represents a good business opportunity," a spokesman said. | He has also made investments in Israeli firm Businesscope Business Intelligence and web intelligence firm Terrogence. "Vincent believes that there is money to be made – honestly – in the sector and that it represents a good business opportunity," a spokesman said. |