…sues former director for allegedly stealing the funds
Moorosi Tsiane
A local betting company, Worldstar Online Group Lesotho LTD, has taken its former director, Henry John Marquis, a South African national, to court for allegedly defrauding the company of more than M10 million.
According to Richard Michael Nash, a British national who is the company’s majority shareholder, Mr Marquis, was appointed director of Worldstar on 9 March 2021, alongside Mervin Brody whose nationality is not indicated in court papers.
However, Brody never took an active role in managing the company’s affairs and was later removed on or around 16 August 2023.
Mr Nash states in his recently filed court papers that between 25 August 2022 and 3 August 2023, Mr Marquis had exclusive control over Worldstar’s entire assets and funds, including the company’s Nedbank Lesotho account (No. 11990163040).
“The respondent (Marquis) had full and sole control of the said bank account(s) and the business of the applicant (Worldstar). He was the sole custodian and controller of the applicant’s funds and bank accounts. Marquis was the only person with authority to transact on the applicant’s funds. Not even Mr Brody or any other person had access or control over the said bank accounts,” Mr Nash claims.
Mr Marquis was then removed as director on 31 August 2023, following allegations of misappropriation and diversion of company funds, and Mr Nash was appointed to replace him.
Upon assuming control, Mr Nash uncovered several irregular financial transactions amounting to theft, misappropriation and diversion of company funds during Mr Marquis’s tenure.
“As director and controller of company funds and assets, Marquis stood in a fiduciary relationship with the applicant. He owed a duty to act in good faith, with loyalty, and in the best interests of the company — not for his own benefit.”
He argues that Mr Marquis was obligated to exercise reasonable care, diligence and skill expected of a director, and to avoid any conduct that could harm the company financially.
“He had a duty to preserve and protect company assets, and to apply funds reasonably for the benefit of Worldstar, not his own. He was not to steal, divert, or embezzle company funds entrusted to his control, to the prejudice of the company,” Mr Nash alleges.
He claims Mr Marquis stole, misappropriated and diverted funds from the company’s Nedbank account for personal use on numerous occasions between August 2022 and August 2023.
As a result, Worldstar claims to have been unlawfully and permanently deprived of a total of M10,305,718.77.
“Worldstar attributes liability for its loss solely to Marquis and holds him responsible to repay or restore every loss resulting from his breach of duty. Repeated demands were made through the current director for Marquis to repay the misappropriated funds with interest.”
Mr Marquis is said to have acknowledged his liability and made several undertakings to repay the money but has allegedly failed, refused, or neglected to do so.
Worldstar is now seeking a court order compelling Mr Marquis to repay M10,305,718.77, the amount allegedly embezzled, with 18.5% interest from the date of deprivation until full settlement.
