Page 11 - 1_Letter from Begg 23-3-16 (13pp)

(c) I have seen your invoice dated 30 December 2013 to MHML purporting to charge them £2,737.50 for your “daily rate consultancy fees” of £7.50 per day for 365 days in 2012 – a charge which I believe has been passed on by MHML to the lessees. Please clarify what other payments have been made to you by MHML for the same or similar “consultancy” services.
(d) Additional charges made to Mrs Hillgarth and others, outside the scope of the approved refurbishment scheme, included those for a water tank replacement (£867.87), communal TV Sky and HD (£593) and Sky Dish re-install re cable (£250). Also for keys (£50), a charge made exclusively to Mrs Hillgarth. As Mrs Hillgarth already asked you on 20 March 2015, please supply the original supplier invoices for these items, not the MHML invoices/statements you subsequently supplied on 18-21 September 2015.
If you still decline, following several requests, to provide this information, or to offer any plausible explanation, Mrs Hillgarth is perfectly entitled to draw the insinuations to which you object so strenuously in your threatening e-mail note of 23 March 2015. You have a duty as a director of MHML, the head lessor managing (or purporting to manage) Mitre House, to supply this information to your lessees. If you fail to do so we are entitled to assume that there has been misfeasance and will report the matter to the relevant authorities for investigation.
It is a hallmark of your correspondence that you rarely address the question which has been put to you. You tend to throw out a lot of “chaff”, responding (often in patronising and/or derogatory terms) to questions which have not been asked. Please do not make that mistake in response to the questions above. And please do not refer me to your website for this information, as you have Mrs Hillgarth and other leaseholders. As you know, the information we seek is not to be found there. There is no breakdown of what has been done (or by whom) and how much individual appointed contractors have cost the lessees.
Inspection of Invoices
Under Section 22 of the Landlord and Tenant Act 1985 Mrs Hillgarth has the right to inspect accounts, receipts, and other documents supporting the accounts summary, and you are obliged to afford her reasonable facilities to do so, including the ability to take copies or extracts. Since you have consistently denied her this information she has asked me to undertake this on her behalf. In summary I am now asking you to take the following actions:
1. Please let me know a suitable time and place where I may inspect the relevant invoices referred to in questions (a) to (d) above. I repeat that I expect to see the original invoices from suppliers. Not copies, and not invoices prepared by MHML. I have advised Mrs Hillgarth that to the extent you fail to produce invoices from A&R Lawrence totalling £105,877, she and other lessees are entitled to recover the shortfall from MHML and/or its directors.
2. Please pay to Mrs Hillgarth in full, and within 14 days of the date of this letter, a dividend equal in amount to any and all dividends or other distributions paid to the other three shareholders of MHML since the formation of the company (after deduction of any sums already paid to her on account of dividend by MHML).