In a decision dated 15 April 2021 the Court of Appeal (CoA) overturned the decision of Mr Justice Nugee of the High Court of Justice of England and Wales and struck out the majority of SIB’s losses pursuant to the Quincecare negligence claim against HSBC and also held that we cannot as currently pleaded, pursue SIB’s claims against HSBC for dishonest assistance.

HSBC had appealed Mr Justice Nugee’s judgment in which he decided:

1. To dismiss HSBC’s application for the strike out or summary judgment of SIB’s Quincecare claim.
2. To accept HSBC’s application to strike out SIB’s claim of dishonest assistance.

This is a disappointing result and we are currently considering next steps with our legal team. 

The basis upon which the CoA dismissed SIB’s Quincecare claim was on a narrow point of law regarding the issue of whether or not SIB could be said to have suffered loss as a result of HSBC’s actions.  The CoA held that SIB did not suffer any loss as a result of HSBC’s actions because the majority of the money that HSBC paid away reduced SIB’s liabilities to certificate of deposit holders. 

We continue to maintain that HSBC’s conduct fell below that required of a banker in its position.  We also disagree with a number of aspects of the CoA analysis, set out in its judgment.  We are continuing to explore with our legal team the next steps, including all possible avenues to seek recompense from HSBC for their actions.  We will post a further update at the appropriate time, once we have determined those next steps.

See below link to the decision of the Court of Appeal. 

 Stanford International Bank Ltd -v- HSBC | Courts and Tribunals Judiciary