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The former head of SoftBank’s Vision Fund described financial operator Rex Greensil as “slippery and tends to lie.”
Before it collapsed in 2021, Rajeev Misra made comments via email to Softbank colleagues and emailed them to Softbank colleagues.
Also, among the many evidence submitted for the High Stakes case that began Thursday is the transcript of an interview that says Rex Greensil was “completely violated” by Softbank.
Lex Greensill is scheduled to testify at a High Court trial next week. A close person to Australian financial institution said he voluntarily agreed to appear as a witness.
The lawsuit comes from the Credit Swiss Fund to recover hundreds of millions of dollars investors say they lost after Greensill collapse.
Attorneys acting for the fund told the court that SoftBank “aligned” with the Lex Greensill company at the expense of investors. Claimants argue that adjustments are “highest level” and include between the sons of SoftBank founder Masayoshi and Lex Greensill.
The Credit Suisse Fund claims that investors lost about $440 million in a memo named Fairymead.
Softbank’s vision fund was an investor in both Katerra and Greensill Capital.
This is the latest set of legal procedures involving Australians, and he has developed close ties with politicians, including prominent business figures such as former British Prime Minister David Cameron and Softbank’s founder son.
Sonia Tranny KC, representing the Credit Suisse Fund, told the court that the internal email exchanges showed “distrust” of Rex Greensil at SoftBank. This included Misra’s 2020 email to his colleague Katunari Sago, who described Australian financial operators as “slippery.”
Tolaney also cited another email saying that if Sago fails to obtain audited financial statements by Lex Greensill, the Japanese group will “sue him and David Cameron for securities fraud.”
She also claimed that data from Misra’s phone was “very suspicious.”
SoftBank denies the claim. The lawyer acting for the conglomerate told the court the case was “a classic example of a claimant throwing the party for a deep pocket trying to seek rebuke for losses from his own negligence.”
The lawsuit revealed about 32,000 documents, but in a filing that reads “does not support the requester’s case.”
Softbank’s lawyers argued that Toraney’s claims about cell phone records were “misplaced” and “essentially irrelevant.”
Greensill Capital, a supply chain finance group, acted as an intermediary between a company and its suppliers, presenting a role that helped them deal with the issue of slow bill payments.
That failure has resulted in billions of dollars in losses for financial instrument investors, including the now-deprecated Swiss Bank Credit Bureau.
Tom Smith KC and Adam Al Atar KC for SoftBank, in written filings, the court “appears to have been carried out essentially for the complex purpose of getting a bankrupt construction company.
They said Lex Greensill in part in an interview with liquidators in 2021, citing the comment that SoftBank had “showed hostility” and that he was “completely violated.”
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Softbank’s Vision Fund II provided Greensill $440 million and provided Greensill with an understanding that the total will be used to buy back or pay off the outstanding Fairymead notes, the lawyer said.
Smith and Al Atta also cited another part of his interview. Rex Greensil said that $440 million will be used to repay Credit Switzerland as a “absolute understanding of all parties.”
An Australian financial operator said, “We have a moral obligation to take care of our credit liability.”
However, Smith and Al Atta added: “In fact, Greensill used the funds for other purposes.”
Greensill Limited is also listed as the defendant in this case, but the claimant has not sought relief from it. Daniel Lewis, who represents the company in liquidation, said its role in the trial is expected to be “limited.”
Lex Greensill and Misra declined to comment. A Cameron spokesman did not immediately respond to a request for comment.
