Car Dealership Tycoon Claims 'Coup' Led to Ousting from Big Motoring World
The automotive industry in Great Britain is abuzz following revelations in the High Court concerning the dramatic ousting of Peter Waddell, the multimillionaire founder of the prominent used-car dealership, Big Motoring World. Waddell, 59, alleges that his removal as Chief Executive Officer was not a result of legitimate performance issues, but rather an orchestrated "coup" orchestrated by business rivals and private equity investors. The proceedings, which have captivated industry observers, centre on Waddell's claims of wrongful exclusion and a deliberate plan to seize control of his £300 million company.
Allegations of a Coordinated Takeover
According to court documents, Waddell's legal team contends that the investor group, including private equity firm Freshstream, colluded with the Big Motoring World management to remove him from his leadership position. "These proceedings arise out of the actions of the investor in March and April 2024 in conjunction with the Big [Motoring World] companies in ousting Mr Waddell from his possession of the Big Group and taking control of the Big Group themselves instead of Mr Waddell," stated Alan Gourgey KC, representing Waddell. The defence asserts that the steps taken were "invalid" and that Waddell was "wrongfully excluded and removed."
Gross Misconduct Allegations Surface
The High Court has heard that the investigation leading to Waddell's ousting was triggered by accusations of gross misconduct. These allegations reportedly include a series of racist and sexist remarks made by Waddell. One particularly concerning allegation cited in court is Waddell's alleged reference to a Hindu colleague as "Hyundai." Waddell, who is deaf and has dyslexia, either denies making these remarks or claims they were taken out of context. His legal team suggests that the investigation was designed to reach a predetermined conclusion, ensuring his dismissal.
Investor's Perspective and Counter-Narrative
Representing the Freshstream partner Reza Fardad, George Spalton KC, countered Waddell's narrative of a plot. Spalton argued that Waddell was attempting to frame his removal as an "18-month plot," thereby ignoring "Mr Waddell's egregious misconduct." The defence maintains that the investors and management were acting "properly, professionally and in good faith" to protect the business. Allegations of "the most serious kind," including sexism and bullying, were presented as the basis for the investigation, according to Spalton.
A Remarkable Business Trajectory
Peter Waddell's journey to the helm of Big Motoring World is a remarkable one. His backstory includes a childhood spent in care and a period of homelessness before achieving significant success in the business world. He built Big Motoring World into a formidable enterprise, boasting 525 employees, revenues of £371 million, and profits of £6.6 million according to 2021 annual accounts. This impressive track record attracted the attention of Freshstream, which acquired approximately a third of the business in April 2022, with provisions for a future buyout of Waddell's remaining shares.
The Investor's Involvement and the Downturn
The acquisition by Freshstream marked a significant milestone for Big Motoring World. However, Waddell's legal team suggests that a subsequent downturn in the company's trading prompted his investors and colleagues to devise a plan to wrest control from him. A key point of contention is that Waddell claims he was never interviewed as part of the conduct investigation that ultimately led to his dismissal. This omission is central to his argument that the process was fundamentally flawed and designed to force him out.
The Future of Big Motoring World
The High Court proceedings highlight a deep-seated conflict between the company's founder and its key investors. The case raises critical questions about corporate governance, the handling of misconduct allegations, and the dynamics between entrepreneurs and private equity firms. The outcome of this legal battle will undoubtedly have significant implications for the future leadership and strategic direction of Big Motoring World, a major player in the UK's competitive automotive retail sector. The court will now weigh the competing narratives and the evidence presented by both sides to determine the validity of Waddell's claims and the legitimacy of his ousting. The former CEO remains the majority shareholder, adding another layer of complexity to the ongoing dispute.
