Matt Haycox: YouTube personality deceived investors over non-existent £4.5m luxury hotel loan, judge rules
Well-known entrepreneur and social media personality Matt Haycox deceived investors about a non-existent £4.5m loan for a luxury hotel project, a judge has ruled.
Mr Haycox, who is originally from Yorkshire and has almost 50,000 subscribers to a YouTube channel where he interviews celebrities like Ant Middleton and Katie Price, has been facing a commercial fraud claim from businessman Scott Fletcher and Lowry Trading Limited.
The claimants alleged Mr Haycox had misled them into providing millions on the basis the money would be lent onwards to the owners of Homestall Manor in East Sussex to fund a luxury hotel renovation.
A court heard Mr Haycox provided what appeared to be signed documents confirming the agreement and then gave regular email updates about the supposed progress of the investment, with over £2.6m of payments purporting to be interest and capital repayments also made. However, no agreement was in place.
After Judge Richard Pearce issued a summary judgement on Thursday, Mr Haycox said he intends to appeal and described the ruling as “very wrong all over”.
Lowry Trading is owned by a family trust of which Mr Fletcher is a beneficiary. Mr Haycox acted as a broker for two special purpose vehicles (SPVs) connected to a lending company called Huddle Capital, which is now in administration.
Judge Pearce said that Mr Fletcher had provided £4.5m to the SPV 20 scheme, with a subsequent refinancing seeing Lowry involved with a sum “in excess of £2m” as it took over Mr Fletcher’s commitment.
Money was first provided after Mr Haycox sent an email about the Homestall scheme on November 17, 2022, where he said they were now “there” with the matter following legal delays. Transaction documents were attached which appeared to show the borrowers had signed agreements.
But Judge Pearce said on December 6, Mr Haycox had emailed a representative of the Homestall Manor owners “talking about the fact the deal has not been closed”. A further email from Mr Haycox later in December said “the deal is now dead anyway…”.
Judge Pearce said it was not feasible Mr Haycox could have believed what was said in the November email to be true given the content of the December emails.
The court was told Mr Haycox said he discovered in around January 2023 the £4.5m from Mr Fletcher had not gone onwards to the property owners but had been “deployed elsewhere”. The judge said: “Mr Haycox elected not to tell Mr Fletcher and covered up by providing positive updates about the loan which had not been implemented.”
Judge Pearce said Mr Haycox had previously conceded he had made “strategic misstatements” and told “white lies”.
The court heard Mr Haycox said he considered Mr Fletcher to be a “volatile” character and wanted to “pick the right moment to disclose the problem”. Judge Pearce said this was not a relevant defence. “A lie is no less a lie just because one fears the person would be angry if they are told the truth.”
A costs hearing will take place in December.