High Court
Nicholas Stewart QC, for the High Court Chancery Division gave judgment on 15 February 2001. He allowed Bednash's claim in part.
In 1991 and 1992, because the company had been successful, and Mr Hearsey had adequately carried out his duties, it could not be said that pay or pension contributions were excessive. That was because there was no significant risk to DGA's creditors.
However, Hearsey's remuneration in following years was objectionable. There was a lack of clear evidence about Hearsey's actions. Despite that, if Hearsey had no reliable view on DGA's financial position, it was not responsible to pay himself large sums of money. Alternatively, if Hearsey had had a reliable view of DGA's finances, paying himself large sums of money would have also been irresponsible, because there had been a substantial risk to DGA's creditors.
Read more about this topic: Bednash V Hearsey
Famous quotes containing the words high and/or court:
“A ward, and still in bonds, one day
I stole abroad;
It was high spring, and all the way
Primrosed and hung with shade;
Yet was it frost within,
And surly winds
Blasted my infant buds, and sin
Like clouds eclipsed my mind.”
—Henry Vaughan (1622–1695)
“In government offices which are sensitive to the vehemence and passion of mass sentiment public men have no sure tenure. They are in effect perpetual office seekers, always on trial for their political lives, always required to court their restless constituents.”
—Walter Lippmann (1889–1974)