Graeme Halkerston

Banking and financial services

Graeme has acted in many high-profile banking and financial services matters. Many of his cases involve investment disputes, and in particular joint venture, hedge fund and private equity litigation. Offshore vehicles, offshore litigation and onshore cases involving offshore legal issues are his bread and butter, and he regularly acts in cases in the Cayman Islands and the BVI or as an expert on matters of offshore law in onshore cases. A significant proportion of his matters concern parallel litigation in the United States.

Representative work includes:

• Advising private equity fund on disputes with partner as to payment entitlements.
• Advising investment fund in dispute with lender as to lender’s rights to equity participation.
• Representing liquidators of collapsed investment vehicle which had been the victim of $250m fraud, including proceedings to manage and resolve proprietary and other claims asserted against the fund’s assets.
• Representing provisional liquidators of collapsed online brokerage firm dealing with multi-jurisdictional claims and the recovery and restoration of funds to clients, including obtaining MF Global and Berkeley Applegate orders.
• Advising directors of insolvent company on claims against the company’s bank in calling in loans immediately after re-financing was agreed on terms which extended the personal liabilities of the directors and the effects of the company being placed in the bank’s restructuring group.
• Representing investors in Cayman Islands and BVI companies in numerous share valuation disputes.
• Expert witness on issues of Cayman law in $100m claim in New York brought by a collapsed hedge fund against a major bank.
• Representing bond investors in the OGX Brazilian oil conglomerate which collapsed with $60bn losses in fraud claims against former management, including co-ordinating worldwide freezing orders in several jurisdictions.
• Intervening in offshore insolvency to overturn permission to bring New York proceeding against a major international bank.
• Advising administrators of the Angel Group on an application for their removal and responses to allegations by owners and management of misconduct by their appointing bank and advisers to that bank.
• Acting as expert on issues of offshore law in the English High Court and US jurisdictions as to the duties of fund directors in claims brought by creditors and/or investors.
• Representing England-based director in a collapsed property investment company involved in investor litigation in the United States, BVI and England.
• Advising on numerous derivative misselling claims, for claimants, defendants and in regulatory matters. Examples are:
  • Claims by business owners against banks for interest swap misselling.
  • Acting for leading football club in claims concerning currency derivative contracts.
  • Acting for FRC in proceedings against directors and auditors connected with derivative losses incurred by Manchester Building Society.

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Company law

Disputes about investment vehicles and joint ventures form a significant part of Graeme’s company law practice. Unfair prejudice claims, directors’ duties, derivative actions and companies owned by divorcing couples are central to many of his recent cases.

His in-depth knowledge of the laws of the major offshore jurisdictions is particularly helpful in such disputes, whether the litigation is taking place in England or in offshore jurisdictions.

Representative work includes:

• Representing England-based director in a collapsed property investment company involved in investor litigation in the England, the United States and the BVI.
• Advising in BVI unfair prejudice disputes as to the allocation of resolution between arbitration and Court proceedings.
• Advising in Cayman unfair prejudice disputes as to the allocation of resolution between arbitration and Court proceedings.
• Successfully applied for the removal of receivers appointed on an ex parte basis over a company jointly owned and managed by a husband and wife following the wife’s application to appoint those receivers in the course of parallel divorce proceedings.
• Acted for investor group in unfair prejudice proceedings arising from allegations that assets and opportunities of the business had been wrongly diverted by management to companies controlled by that management. Case involved parallel arbitration proceedings in the Isle of Man arising out of the shareholders’ agreement.
• Advised on the application of assets and liabilities of a segregated portfolio investment company and obtained Court approval of a merger of any claims against former management and advisers to permit those claims to proceed in the United States.

Providing expert evidence on issues of offshore company law including:

• Expert witness on issues of Cayman law in $100m claim in New York brought by a collapsed hedge fund against a major bank.
• Provided expert opinions on derivative actions, share valuation mechanisms and directors’ duties in company litigation in New York. Expert evidence was cited before the New York Court of Appeals.
• Instructed as expert on scope of Cayman fund directors’ duties in English High Court litigation.

Download Company law CV

Insolvency

Graeme’s work encompasses both domestic and international insolvency. He is often instructed when financial services companies have collapsed and on the ensuing professional liability claims on behalf of insolvent estates. He has extensive experience of offshore insolvency issues and appears regularly in offshore courts.

Representative insolvency work includes:

• Advising the liquidators of Global Steel Holdings, the holding company of Pramod Mittal’s businesses, in claims and information gathering proceedings in England, BVI, Isle of Man and Nigeria, including obtaining $350m freezing orders in England and BVI. Mr Mittal claimed to be “Britain’s biggest bankrupt”.
• Representing provisional liquidators of collapsed online brokerage firm dealing with multi-jurisdictional claims and the recovery and restoration of funds to clients, including obtaining MF Global and Berkley Applegate orders.
• Acting for liquidators of insolvent publishing distributor on series of propriety claims brought by former clients. Obtained court directions for adjudication and resolution of such claims and Berkley Applegate orders in respect of liquidators’ fees.
• Representing liquidators of collapsed investment vehicle which had been the victim of $250m fraud, including proceedings to manage and resolve propriety and other claims asserted against the fund’s assets.
• Representing construction company in opposing enforcement of adjudications following the counter party entering in a CVA.
• Representing major UK professional sports club in winding up proceedings issued by HMRC.
• Advised directors of insolvent company on claims against the company’s bank in calling in loans immediately after re-financing was agreed on terms which extended the personal liabilities of the directors.
• Successfully applied for removal of receivers appointed on an ex parte basis over a company jointly owned and managed by husband and wife following the wife’s application to appoint those receivers in the course of parallel divorce proceedings.
• Representing England-based director in a collapsed property investment company involved in investor litigation in England, the United States and the BVI.
• Intervening in offshore insolvency to overturn permission to bring New York proceedings against a major international bank.
• Advising US-based creditor who successfully appealed a judgment in a proof of debt appeal in Cayman insolvency proceedings three years later following the discovery of material information that was not produced by the litigators at first instance.
• Successfully obtained stay of Cayman insolvency proceedings to determine professional adviser claims in favour of arbitration as included in advisory agreements. Stay was confirmed by the Court of Appeal.
• Advised on the application of assets and liabilities of an insolvent segregated portfolio investment company and obtained Court approval of a merger of any claims against former management and advisers to permit those claims to proceed in the United States.
• Acting for liquidators of insolvent hedge fund in respect of hostile liquidation proceedings following disputes between investors and fund manager following suspension of redemption and reorganisations with background of ongoing US Department of Justice investigations.
• Advised administrations of the Angel Group of companies on an application for their removal and responses to allegations of misconduct by their appointing bank and advisors to that bank.
• Acting for administrators of Lehman Brothers on post-collapse claims against counter parties including claims in England and the Cayman Islands.
• Regularly acting as an expert witness on matters of Cayman Islands law, particularly insolvency law in US litigation.

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Professional liability

Graeme has a broad range of professional liability experience with particular expertise in cases involving auditors, legal advisers, directors and financial advisers. He is often instructed in cases arising out of the collapse of financial institutions, particularly when there are cross-border issues or parallel regulatory or criminal proceedings.

Representative professional liability work includes:

• Representing tax advisers on 8-figure claims by former clients alleging negligent tax advice.
• Representing shareholders of large group holding company as to claims against professional service providers following the provision of negligent tax advice.
• Advising investor action groups in disputes regarding the management of investment fund, including claims against funds based in Guernsey and the Cayman Islands.
• Acting for England-based director in a collapsed property investment company involved in $400m investor litigation in the England, the United States and the BVI on claims that the director breached his duties to the company and to investors during the promotion of the company.
• Advising auditors on claim by liquidators of a collapsed global aircraft component supplier.
• Advised directors of insolvent company on claims against the company’s bank in calling in loans immediately after re-financing was agreed on terms which extend the personal liabilities of the directors.
• Represented administrators of the Angel Group of companies on application for their removal and responses to allegations of misconduct by their appointing bank and advisers to that bank.
• Provided expert evidence for major accounting firms on issues of Cayman Islands law in New York litigation arising out the Madoff fraud.
• Engaged by FRC in investigations and proceedings following the sale of the Autonomy business to HP and the subsequent $8bn loss realised on the transaction.
• Acting for FRC in proceedings against directors and auditors connected with derivative losses incurred by Manchester Building Society.

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International arbitration

Graeme regularly acts in international arbitration matters. He also appears in court matters than interact with ongoing arbitrations, particularly in the context of shareholder remedy claims.

Representative work includes:

• Appearing in ICC arbitration in Singapore related to the construction of a major petro-chemical plant.
• Acting on ad hoc London arbitration to resolve disputes arising under a shareholders agreement between minority and majority shareholders of a large aviation services business.
• Applying for a stay of insolvency litigation proceedings in favour of AAA arbitration in New York.
• Advising in BVI unfair prejudice disputes as to the allocation of resolution between arbitration and Court proceedings.
• Advising in Cayman unfair prejudice disputes as to the allocation of resolution between arbitration and Court proceedings.

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International / offshore

Graeme is a specialist in offshore litigation and is ranked in Tier 1 by both Legal 500 and Chambers & Partners for offshore law.

Offshore vehicles, offshore litigation and onshore cases involving offshore legal issues are his bread and butter. While many of his cases relate to disputes in the Cayman Islands and the BVI, he has advised on matters in all the major OFC jurisdictions. Prior to joining Chambers, Graeme was litigation partner in one of the leading Cayman firms.

A significant proportion of his cases concern litigation in the United States involving matters of offshore law or parallel litigation in offshore jurisdiction. He regularly acts expert witness or consulting expert on matters of offshore law in onshore cases.

Representative work includes:

• Representing as advocate the liquidators of collapsed Cayman investment vehicle which had been the victim of $250m fraud, including proceedings to manage and resolve proprietary and other claims asserted against the fund’s assets.
• Representing bond investors in the OGX Brazilian oil conglomerate which collapsed with $60bn losses in fraud claims against former management, including coordinating worldwide freezing orders and disclosure orders in several jurisdictions in support of substantive US proceedings.
• Advising the liquidators of Global Steel Holdings, the holding company of Pramod Mittal’s businesses, in claims and information gathering proceedings in England, BVI, Isle of Man and Nigeria, including obtaining $350m freezing orders in England and BVI. Mr Mittal claimed to be “Britain’s biggest bankrupt”.
• Advising US-based creditor who successfully appealed a judgment in a proof of debt appeal in Cayman insolvency proceedings three years later following the discovery of material information that was not produced by the litigators at first instance.
• Obtaining stay of Cayman proceedings in favour of AAA arbitration in New York, acting as advocate at first instance and on appeal.
• Intervening in Cayman insolvency to overturn permission to bring New York proceeding against a major international bank.
• Representing as advocate the provisional liquidators of collapsed online brokerage firm dealing with multi- jurisdictional claims and the recovery and restoration of funds to clients, including obtaining MF Global and Berkeley Applegate orders.
• Acting for administrators of Lehman Brothers on post-collapse claims against counter parties including claims in England and the Cayman Islands.
• Acting for England-based director in a collapsed property investment company involved in $400m investor litigation in England, the United States and the BVI on claims that the director breached his duties to the company and to investors during the promotion of the company.
• Representing high-net-worth individual on effect of freezing orders, disclosure orders, third-party orders and parallel relief in offshore jurisdictions following claims in High Court for damages in excess $200m arising out of a corporate finance transaction.
• Representing investors in Cayman Islands and BVI companies in numerous share valuation disputes.
• Advising investor action groups in disputes regarding the management of investment fund, including claims against funds based in Guernsey and the Cayman Islands.
• Acted for investor group in unfair prejudice proceedings arising from allegations that assets and opportunities of the business had been wrongly diverted by management to companies controlled by that management. Case involved parallel arbitration proceedings in the Isle of Man arising out of the shareholders’ agreement.
• Advised on the application of assets and liabilities of a segregated portfolio investment company and obtained Court approval of a merger of any claims against former management and advisers to permit those claims to proceed in the United States.

Providing expert evidence on issues of offshore company law including:

• Expert witness on issues of Cayman law in $100m claim in New York brought by a collapsed hedge fund against a major bank.
• Provided expert opinions on derivative actions, share valuation mechanisms and directors’ duties in company litigation in New York. Expert evidence was cited before the New York Court of Appeals.
• Instructed as consulting expert and expert witness of issues of Cayman Islands insolvency law and procedure.
• Instructed as expert on scope of Cayman fund directors’ duties in English High Court litigation.
• Instructed by major accounting firms as expert witness on issues of Cayman Islands law in New York litigation arising out of the Madoff fraud.

Download International / offshore CV