JJB’s Sir David repays Ashley loan

SIR David Jones, the executive chairman of JJB Sports, has repaid a controversial £1.5m loan from Mike Ashley, the majority shareholder of rival sports retail chain Sports Direct.

Sir David repaid the loan – which he had received from Mr Ashley in 2007 – late last week, following concern that there could be a conflict of interest, when details emerged last week.

Sir David has suggested that the leaking of details about the loan had been timed to disrupt the company’s plan to raise £50m in a forthcoming rights issue.

There has been a dispute between Sir David and Mr Ashley about the timing of the loan.

Sir David claimed that it was about September 24, 2007, that he first asked about borrowing the money from Ashley but Ashley said the approach was made on October 3, after Sir David joined the JJB board as a non-executive director.

The company said in a statement to the stock market that the loan did not create a conflict of interest because it was agreed before Sir David joined the board.