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Skat reaches mid-trial confidential settlement with ex-Barclays director Darren Lui and four companies; £1.4bn cum-ex fraud case continues in High Court of England and Wales

Published on: 04 December 2024

Published by a Law360 reporter
Legal News
Article summary

Darren Wang Yip Lui and four companies settled with Skatteforvaltningen (known as Skat)

A confidential deal has been reached by Darren Wang Yip Lui and four companies with Skatteforvaltningen, as recorded in a High Court order dated 17 October 2024 that has only recently been disclosed. The resolution emerges midway through a sprawling High Court trial that began in April 2024. Lui and the businesses are among dozens of defendants pursued by Skat over a cum-ex trading arrangement that extracted billions via fraudulent claims for dividend tax refunds from the country’s treasury.

Skat did not immediately reply to requests for comment on 2 December 2024. Lawyers for Lui and the companies stated they were unable to comment on the settlement owing to confidentiality duties. Lui and the companies have denied taking part in any fraudulent conduct. Cum-ex trading was devised to exploit gaps in dividend payment systems across Europe, including Germany, Belgium and France, and involves cross-border sales or swaps of shares shortly before a scheduled dividend payout...

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