Anyone studying the current travails of the Conservative Party could be forgiven for referencing Shakespeare, for thinking there really is something rotten in the kingdom.
In short order, we’ve had: an allegation of Islamophobia; “Partygate” including the holding of an indoor birthday gathering for the Prime Minister when such occasions were banned; the awarding of lucrative PPE contracts to favoured friends; the resignation of a government minister over the handling of fraudulent Covid loans; and accusations of blackmail against MPs who do not toe the line.
According to the idiom, the fish rots from the head. Boris Johnson is the Conservative leader; the chairman is Ben Elliot.
The nephew of Prince Charles, Elliot, 46, is co-founder and director of Quintessentially, the global “lifestyle management” firm that offers a range of services to its rich clients. Whatever you want, it will provide it – within reason and the boundaries of the law, of course.
Elliot is also no stranger to claims of playing fast and loose. His concierge company has reached a settlement with a client who accused it of “false advertising” and “fraud”.
The client, Californian businessman Christopher Grey, paid £5,500 ($7,425) to become a Quintessentially member. Grey turned to Elliot’s organisation for assistance in acquiring a European “golden visa” that grants residency or citizenship to wealthy investors.
On its advice, his company bought a one-bedroom property in Lisbon for £510,000 and then transferred it to himself, which it said would qualify him automatically for the visa.
It was wrong – the property could not be transferred to him for visa purposes, nor could it be rented out. He sued. Quintessentially refuted his claim and said it settled for reasons of expediency.
Last year, Quintessentially’s Manhattan landlords accused its New York operation of “continuous failure and refusal to pay rent” and breaking the terms of its lease. Quintessentially disputes the claim and maintains the rent is up to date.
In a separate case, the New York State Workers’ Compensation Board served Quintessentially with a final notice of a penalty for its alleged failure to provide medical insurance and compensation for lost income for those injured at work or with long-term disabilities. Here, Quintessentially denies receiving the notice and says it could not therefore respond to the charge, but it was untrue to say it had not provided insurance cover.
In another, American Express was pursuing Quintessentially for unpaid credit card bills, for purchases including wine and taxi rides booked through Uber. Amex had to go to court in New York over the $45,000 debt and won. Quintessentially’s explanation was that the credit card bills were going to an unoccupied address.
Then there was the late-filed financial report disclosing Elliot’s company had made accounting errors of more than £7m and paid £1.4m in dividends it should not have made to shareholders.
Signs of change in Britain
It says something about the Tories that their chairman should be someone who assists the wealthy in getting visas.
Equally, though, it could be seen as a sign of how Britain has changed. In the past, such a senior establishment figure, one charged with fund-raising for the party of capitalism, would be drawn from the higher echelons of the City or manufacturing industry. The UK economy today is one slanted towards services, in which the urbane, charming, impossibly well-connected Elliot, despite these travails, is something of a star – he is seeking offers for Quintessentially of up to £170m.
To be fair to Elliot, some of these cases beset many businesses in his field and ever since he became Tory chairman, Quintessentially’s affairs have become a matter of heightened media and political focus.
One episode that is harder to explain, though, is that concerning Mohamed Amersi. A Tory donor, Amersi, a British lawyer and deals fixer, was a client of Quintessentially. In return for a fee, Elliott arranged for the ambitious, multi-millionaire Amersi to meet his uncle, Prince Charles, and he duly became a trustee of the Prince’s Trust. A formal honour for Amersi appeared likely.
Amersi also set his sights on the Conservative Middle East Council, run by Charlotte Leslie, the former Tory MP. She alleges that Amersi tried to use his influence to take over the group, which promotes UK-Middle East relations.
When he was rebuffed, Amersi set up his own body, Comena, to rival Leslie’s. Last week, in the Commons, ex-Tory Cabinet minister David Davis said how Carl Hunter, a Tory adviser, “engaged in bullying and egregious behaviour” towards Leslie.
Details of taped calls between Hunter and Leslie were leaked. Hunter told her she needed to “consider being able to walk the dog at night” if she refused to apologise to Amersi, and “you’re looking into a world of pain on this … If you are not careful this will keep you up at night, monopolise your life, for as long as it lasts.”
Leslie has complained to the police about the calls. Amersi denies knowing about them or that Hunter was working on his behalf. Hunter maintained he did not recollect saying she should not go out at night and that he was trying to help Leslie.
This was the same David Davis MP who last week stood up in the Commons at Prime Minister’s Questions and said to Johnson: “In the name of God, go.”
Amersi calls what Elliot supplies “access capitalism”. The Conservative Party, it seems, is still the party of capitalism, of sorts.
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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
Roll of honour 2019-2020
Dubai Rugby Sevens
Winners: Dubai Hurricanes
Runners up: Bahrain
West Asia Premiership
Winners: Bahrain
Runners up: UAE Premiership
UAE Premiership
}Winners: Dubai Exiles
Runners up: Dubai Hurricanes
UAE Division One
Winners: Abu Dhabi Saracens
Runners up: Dubai Hurricanes II
UAE Division Two
Winners: Barrelhouse
Runners up: RAK Rugby
PROFILE OF STARZPLAY
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Sector: Entertainment/Streaming Video On Demand
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Name: Yousef Al Bahar
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Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers
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