Husband in £400 million divorce battle – I’m bankrupt

The wife at the centre of a bitter £400 million divorce battle could end up with nothing after her estranged husband told a court yesterday he was bankrupt.

Michelle and Scot Young have spent the last three and a half years wrangling over the fortune, which she says he is hiding and he claims does not exist.
Last December, the High Court ordered Mr Young to pay his wife £27,500 a month, which he has failed to do. The maintenance was to cover living expenses for her and the children until a full hearing of a divorce settlement in May.

Yesterday however, the former multi-millionaire businessman said the order was “totally academic” as he has been made bankrupt and does not have a penny to his name.
The couple, who have two daughters and enjoyed an opulent international lifestyle, separated in November 2006 after 11 years of marriage.
Mrs Young, 45, claims he stopped paying maintenance two years ago when she found out that he had a hidden fortune of around £400 million.
Since then, she said she has had to sell more than £1 million worth of jewellery to support herself and their daughters Scarlett and Sasha.
Mrs Young, who used to divide her time between the US, Britain and the Caribbean, said she had accrued £660,000 in unpaid legal fees and may have to forfeit her legal counsel.
Sarah Phipps, representing Mrs Young, said her client was down to her last £13,000 and the distress of the protracted court case was having a detrimental effect upon the children.
She added that her client was now facing the prospect of losing her home, schooling for her children and legal representation.
“Scarlett, who is taking her A-Level exams in the summer, isn’t sleeping and is finding it very difficult to cope with the stress of exams and the risk of being made homeless,” she said.
“The husband has not paid any maintenance since April 2008 and the school fees are £23,000 in arrears and the girls’ schooling is obviously in jeopardy.”
The divorce battle centres on the alleged missing £400 million.
Mr Young, 47, was given a suspended six month jail sentence last year for contempt of court for failing to explain his financial situation.
He now claims that not only has he lost the money but that he owes an estimated £28 million in unpaid debts.
A close associate of Boris Berezsovsky, the Russian oligarch, Mr Young has been supported throughout his legal battle by benefactors including restaurateur Richard Caring and entrepreneur Sir Tom Hunter.
At one stage he was receiving £400,000 a year in support from friends, the court was told.
Miss Phipps said Mr Young should pay maintenance dating back to July 2008 – a total of £500,000 – and his ex-wife’s legal costs.
Mr Young however, who is representing himself, said his financial matters were now being looked into by the state after he was made bankrupt by Her Majesty’s Customs and Excise earlier this month.
“I believe (this hearing) is totally academic, I believe my affairs will now be in the hands of the trustee of the bankruptcy.”
Mrs Justice Black ruled that the payments should not be backdated at this stage but ordered Mr Young to pay the cost of the last two hearings.
Outside court, Mr Young said he had been made bankrupt for £2 million and wanted to end the feud with his wife.
“It is never a good day for businessman to have bankruptcy proceedings.
“Hopefully this will bring closure and allow me to move on. I have every intention of looking after my children and my wife to the best degree I possibly can.
“She must allow me to get back into the business arena.”
The couple are due back in court for the next stage of proceedings on May 17.

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Source:- telegraph