Philip Green to tell MPs he was sucked in by ‘lies and deception’ before BHS sale
Retail mogul expected to express “regret” over his £1 sale of BHS to a serial bankrupt with no high street experience
SIR Philip Green is expected to express “regret” over his £1 sale of BHS to a serial bankrupt with no high street experience, when he faces MPs next week.
The billionaire Topshop tycoon will claim he was taken in by Dominic Chappell’s “lies and deception”, according to sources.
He is also expected to outline his plan on how he will help ease the burden of BHS’ £571million pension deficit.
Sir Philip is working with accountancy giant Deloitte on such a scheme, he is likely to tell the business and pensions committee on Wednesday.
One of the options could involve Sir Philip putting close to £100 million into the fund, along with waiving £35 million of debt owed by BHS to his Arcadia retail empire.
It is understood he has previously offered to pay £80million in total into the fund, which includes wiping out the outstanding £35million debt.
But many MPs are plotting to call for him to be stripped of his knighthood unless he stumps up close to the full amount.
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Shadow Chancellor John McDonnell claims a snub to a Commons’ committee by the retail billionaire should see it taken away to “help restore public faith in the honours system”.
It comes as Business Minister George Freeman says Sir Philip should lose his knighthood if he “wilfully misled” people.
Sir Philip last night demanded Labour MP Frank Field resigns as chairman of a Commons inquiry into the collapse.
The Topshop tycoon plans to boycott Wednesday’s session after accusing Mr Field of “bias”.
A spokesman for Sir Philip’s Arcadia group claimed calls to strip him of his knighthood were “low-grade behaviour”.
Labour MP Jim McMahon has written to David Cameron seeking the Prime Minister’s support in removing the title.
He wrote: “This person falls short of meeting the high standard required to hold this honour.
“I believe that the evidence is overwhelming and particularly that his knighthood which was linked to his achievements in the British retail sector is now wholly inappropriate.”
The schemes of approximately 20,000 current and former BHS workers have fallen into the Pension Protection Fund after the chain collapsed in April.
It is also understood that Sir Philip will turn on the Pensions Regulator, which he ultimately blames for the state of the fund, after it rejected several restructuring proposals during his ownership.
Sir Philip has come under fire for taking £400million in dividends out of the firm during his 15-year ownership, and for selling it to Mr Chappell for £1 in March last year.
On Wednesday, Mr Chappell claimed to MPs that Sir Philip blocked a rescue attempt for BHS from Sports Direct boss Mike Ashley, favouring instead to plunge BHS into administration.
Sir Philip will mount a vigorous denial of the claim, while Mike Ashley will submit evidence in writing detailing his version of events.