Hilton Ventures to sue former advisors

BRIDGING finance firm Hilton Ventures has announced its intention to sue its former advisors.

The business, which is based in Altrincham in Cheshire, claims that its former advisors embarked on deals which did not “protect the interests of either the company or its funders”.

It also revealed in a statement to the PLUS market that it reduced a pre-tax loss of £37,788 last year from a loss of £271,785 a year earlier.

The company made a maiden profit in the first six months of 2009 but said that it had to repossess a number of properties and sell them in the second half of the year.

It said that this was necessary due to a number of clients being unable to refinance due to the “severe downturn in the availability of long term property funding from main stream lenders.”

Graham Alcock, chairman of Hilton Ventures, said: “Overall 2009 was a difficult year for the group which is a result of the on-going deterioration in the economy in general and the  property market specifically.

“We have also commenced proceedings against certain professional advisors on a number of transactions where our lawyers have advised that such professionals did not protect the interests of either the company or our funders, NatWest Bank PLC (NWB).

“These claims are being pursued with the full support of NWB.

“We have retained Paul Chaisty QC to represent us on these claims. 

“We are unable to go into these matters in detail so not to prejudice our position or claims, but nevertheless we expect to settle the outstanding matters in the near future, without any loss to Hilton Ventures.”

The company saw its revenues dip by 6% to £352,532 for the year but said that operating profits for its main subsidiary HV Finance grew to £224,581 from £47,261 last time. 

Trading in Hilton Ventures shares was suspended on April 24 as a result of the non-payment of the PLUS annual fee.