Daily Mirror (Northern Ireland)
Frampton: Mcguigan ripped me off
Revenue officers turned up at boxer’s door over £400k bill Mcguigans deny ‘abuse of trust’ claims by former champion
CARL Frampton quit Barry Mcguigan’s Cyclone Promotions when the VAT man turned up at his door looking for nearly £400,000, the High Court heard yesterday.
The former world champion, 31, also believed his one-time manager was “ripping him off and concealing it”, the hearing was told.
Mr Frampton, who is suing over allegedly withheld earnings, has also said the cracks first appeared when he was allegedly “fobbed off ” about being paid after defeating Scott Quigg in February 2016.
In a sworn statement he accused Mr Mcguigan of abusing the trust he placed in him to look after his career.
New details of the case emerged on day two of a preliminary hearing to determine if the lawsuit should proceed in Belfast or London.
Reserving judgment following closing submissions, Mr Justice Horner pledged to give a decision as early as possible.
He also stressed: “These are mere allegations, there’s nobody giving testimony, and they will have to be tested in due course either here or in London.”
The boxer has issued a writ in Northern Ireland over an alleged failure to pay sums due in purse monies.
The action is being taken against Barry Mcguigan, his wife Sandra Mcguigan and Cyclone Promotions (UK) Ltd. It forms the basis of his counter-claim to separate proceedings brought against him by Cyclone Promotions at the High Court in London.
“The Jackal”, a former two-weight world champion, split with the firm last summer.
The North Belfast fighter is facing an action from his former promoters for alleged breach of contract.
He is now counter-claiming on a number of grounds, including an alleged appropriation of fight earnings and a breach of the terms of an International Promotional Agreement.
The writ involves claims against the now dissolved
Cyclone
Promotions UK
Ltd, of which Mr and Mrs
Mcguigan were directors, over purse fees, broadcasting rights, ticket sales and merchandising from Mr Frampton’s second world title bout against Leo Santa Cruz last year. Lawyers for the Mcguigans insisted all of the allegations are categorically denied and said the case should be dealt with in London along with Cyclone’s suit. Mr Justice Horner was told the boxer claims doubts about his relationship with Mr Mcguigan first emerged in the build up to his fight with Quigg.
In an affidavit Mr Frampton said he and his wife Christine noticed the Mcguigan family, their wives and girlfriends were putting everything on the account.
Referring to his inquiries about being paid months after the fight, he claimed “I was fobbed off ” and told his opponent’s promoters were “messing around” over money.
Mr Frampton claimed Quigg was paid before him. Moving forward to the summer of 2017, Gavin Millar, for Mr Frampton, claimed this was the point of his client’s “realisation or belief that the Mcguigans were ripping him off and concealing it”. The lawyer said: “He was training when the Revenue attended his home in Belfast with a demand for £397,000.” The visit related to allegedly unpaid VAT by a Northern Ireland-registered Cyclone Promotions company.
Mr Frampton resigned as a director at that point and appointed an independent accountant, the court heard.
With breach of trust claimed by the fighter, he also alleged in his affidavit: “It’s my belief that Barry Mcguigan and the Mcguigan family abused the trust I placed in them in respect of my career as a boxer. Barry Mcguigan was in a position where I expected him to safeguard my interests.”
He further claimed Sandra Mcguigan assisted her husband in making undisclosed financial gain.
Previously the court was told of disputed allegations Mr Frampton’s parents lodged up to £1million into Mr Mcguigan’s bank account in Belfast.
The cash had been raised through selling tickets to their son’s bouts – although the defendants have put the figure at around £220,000. Mr Frampton alleged the Mcguigans “took advantage” of his parents by asking them to lodge large sums of money into the account.