The long-running legal battle over Birmingham’s landmark development, ‘The Square’, has reached another significant milestone, after the High Court rejected a fresh attempt by property developer Samuel Ginda (pic) and his companies - 2020 Living Limited, Taylor Grange 2 Limited and TGDM One Limited - to partially lift a court-imposed sanction preventing them from defending a multi-million pound claim.
In a process drawn out over more than four years so far involving nearly 50 orders from the court, and a trial bundle of more than 30,000 pages of evidence, the latest decision leaves the developer unable to contest a potential eight-figure claim brought by Leicester-based investor Sanman Property Management Ltd - a dispute stemming from an ‘unlawful conspiracy’ to exclude Sanman from profits tied to the proposed 220-room hotel and current 30-storey residential tower in the city’s Broad Street. Last summer, and following applications made by Sanman, the Birmingham developer’s defence was struck out and they were debarred from defending the claim shortly before trial, due to multiple breaches of court orders relating to disclosure of documentation.
The recent application to the High Court was the latest in a series of failed attempts to challenge or vary the original decision and permit Samuel Glinda and his companies to defend the claim. Leicester property investor Sanman Property Management Ltd brought the claim against the defendants after providing the developer with a loan to secure an option to acquire the development land in Broad Street. In return, it was agreed Sanman would receive interest and a split of the profits.
However, the court heard that a sequence of transactions later occurred, without Sanman’s knowledge or involvement, that took the land purchased, with Sanman’s assistance, out of 2020 Living’s ownership and thus excluded Sanman from the profit generated. Sanman issued a claim for the loan value (which was repaid in 2021 following an initial judgment), interest and anticipated profits.
Litigators at law firm Shakespeare Martineau, who act on behalf of Sanman, revealed the companies benefiting from the transactions for the development land were in fact owned by the same director (and beneficial owner) as 2020 Living, Mr Samuel Ginda.
Timeline:
September 2024 – Shakespeare Martineau quickly apply for court order on behalf of Sanman for a declaration that the defendants’ evidence be struck out and debarred after multiple deadlines and extensions were missed. Ginda et al make cross application for relief from sanction, which is dismissed. Sanman’s application was successful on both strike out and debarral whilst the defendants’ was dismissed.
October 2024 - Trial on liability takes place where Sanman proved its case on the documentation and evidence and was awarded judgment in its favour. At the same trial, Sanman’s co-claimant Midland Premier Properties Limited -also represented by Shakespeare Martineau- obtained a judgment of £560m against the first defendant, property developer Rakesh Doal, on a separate claim.
January 2025 – Second application by the defendants for relief from sanction, which was dismissed at a hearing in March 2025 and Sanman were awarded their costs with a interim payments on account of costs and damages of £1.7m payable by the Defendants was ordered by the Court.
June 2025 – High Court rejected a third application by the defendants to challenge or vary the sanction.
Defendants will now take their case to the Court of Appeal.
The hearing for the court to decide on how much Sanman should be paid as a result of the defendants’ conspiracy and breach of contract is yet to be set.
