Car Dealership Tycoon Ousted in Alleged 'Coup' Over Racist and Sexist Remarks
A multimillionaire used-car salesman was forcibly removed from his £300 million company in what has been described as an orchestrated "coup" involving business rivals and private equity investors, according to testimony presented at the high court. Peter Waddell, 59, the former chief executive of Kent-based Big Motoring World, claims he was ousted by "conspirators" who engineered a plan to ensure an investigation into allegations of gross misconduct concluded with findings that justified his dismissal.
Allegations of Racist and Sexist Conduct
Waddell is accused of making a series of racist and sexist remarks, including referring to a Hindu colleague as "Hyundai," as revealed during the court proceedings. The tycoon, who has a background marked by a childhood in care and periods of homelessness before achieving business success, either denies making these comments or argues they were taken out of context. Despite these allegations, he remains the majority shareholder in the company, which reported revenues of £371 million and profits of £6.6 million in its 2021 annual accounts.
Private Equity Involvement and Dispute
The private equity group Freshstream acquired approximately one-third of Big Motoring World in April 2022, with an option to eventually buy out Waddell's remaining shares. Waddell, who is deaf and has dyslexia, contends that a downturn in the company's trading prompted his investors and colleagues to devise a scheme to seize control from him. He alleges that this culminated in a conduct investigation during which he was never interviewed, undermining the fairness of the process.
Alan Gourgey KC, representing Waddell, stated in court: "These proceedings arise out of the actions of the investor in March and April 2024 in conjunction with the Big Motoring World companies in ousting Mr Waddell from his possession of the Big Group and taking control of the Big Group themselves instead of Mr Waddell. The steps taken were invalid and Mr Waddell was wrongfully excluded and removed."
Investigation and Counterarguments
At the beginning of 2024, Freshstream and Big Motoring World management initiated an investigation into accusations regarding Waddell's interactions with staff, customers, and business partners. George Spalton KC, representing Freshstream partner Reza Fardad, countered Waddell's claims by asserting that the tycoon was promoting a narrative of an 18-month plot to remove him. Spalton argued, "This not only ignores Mr Waddell's egregious misconduct but also ignores the vast majority of the material which illustrates they were all trying to do their best by this business acting properly, professionally and in good faith." He emphasized that the allegations against Waddell were "of the most serious kind," including sexism and bullying.
Witness Testimony and Legal Proceedings
The Hindu colleague allegedly targeted by a racist remark is among several sources whose allegations were cited in the company investigation and who are expected to appear as witnesses for Waddell, according to written submissions. James Laddie KC, representing the Big companies, suggested that Waddell had influenced potential witnesses, stating, "Whether by use of carrot or by use of stick, Mr Waddell has successfully dissuaded some people from giving evidence and has turned some people." He added, "Given the volume of complaints against him, it is inconceivable that [witnesses] have entered into a plan."
The trial is ongoing, with further developments anticipated as both sides present their cases in the high court.
