Lex Greensill Sues the UK Government for Misuse of Private Data

Katharine Gemmell
·1 min read
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(Bloomberg) -- Lex Greensill sued the UK government over the misuse of private information, according to court records.

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The founder of Greensill Capital filed the claim against the The Department for Business and Trade last week at London’s High Court. Details of the suit have yet to be made public. The government department sponsors the Insolvency Service, which has been investigating the collapse of Greensill.

The collapse of Greensill in 2021 has drawn intense scrutiny around the world as its swift unraveling left investors facing several billion dollars in potential losses. The firm, with the backing of SoftBank Group Corp. and General Atlantic LLC, went from a small startup to a tech unicorn with an estimated $7 billion valuation at one point.

The fallout triggered a lobbying scandal after it emerged Foreign Secretary David Cameron’s close relationship with the Australian businessman and his efforts to seek access for the lender — which employed him as an adviser — to state-backed initiatives. Cameron wasn’t working in government at that time.

The Financial Conduct Authority’s enforcement chief said in a letter to lawmakers last year that some allegations regarding the circumstances of Greensill’s failure are “potentially criminal in nature.” Meanwhile, the Serious Fraud Office is investigating the firm’s financial ties with Sanjeev Gupta’s steel conglomerate.

A government spokesperson said it couldn’t comment on live proceedings. A spokesperson for Greensill declined to comment.

--With assistance from Lucca de Paoli.

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