Liberty Managing Agency Limited in its Capacity as Managing Agent for Lloyd's Syndicate 4472 for the 2016 Year of Account & Ors v Marwan Chedid & Anor

Facts

The claimants are nine Lloyd's syndicate interests ("the Insurers") who wrote the Second Excess layer of Petrofac Ltd's Directors & Officers programme, Policy No. FD1640350, providing £45 million of cover in excess of £30 million. The defendants, Mr Marwan Chedid and Mr George Salibi, are former officers of Petrofac and insureds under the Policy. Both face criminal charges of bribery under sections 1(1) and 1(2) of the Bribery Act 2010, to which they have pleaded not guilty; a lengthy trial is due to begin at Southwark Crown Court on 2 November 2026 and to last until at least 12 February 2027. Their defence costs have so far been met by a primary policy and a first excess policy, each with a £15 million limit, but that indemnity is close to exhaustion. By two letters dated 10 August 2026 the Insurers' solicitors wrote letters of avoidance, avoiding (or, as the defendants say, purporting to avoid) the Policy against them for fraudulent misrepresentation and fraudulent non-disclosure — allegations which are disputed and rest materially on aspects of the prosecution case. The defendants, unable to fund their own defence, contend that the Policy obliges the Insurers to continue advancing defence costs. Given the urgency, Robin Knowles J on 19 August 2026 ordered the expedited trial of three preliminary issues, heard on 9 September 2026.