UK’s largest divorce payout awarded to American wife of London financier

http://www.theguardian.com/law/2014/nov/27/jamie-cooper-hohn-largest-divorce-settlement

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The American wife of a London financier has been awarded more than £337m in what legal experts say is the biggest divorce settlement seen in a British court.

Sir Chris Hohn’s claim that his estranged wife, Jamie Cooper-Hohn, only deserved a quarter of their fortune was dismissed by the judge in a private hearing on Thursday , in a ruling that will strengthen the UK’s reputation as the world’s divorce capital.

The size of the couple’s wealth was hotly disputed during the trial at the family division of the high court in London this summer. Lawyers for Cooper-Hohn claimed her husband held assets worth $1.4bn (£890m). Hohn’s legal team, however, insisted his personal wealth amounted to £64.3m.

Cooper-Hohn, 49, and Hohn, 47, met at Harvard and married in 1995. They had four children, including triplets, before she petitioned for divorce in March 2012.

The couple have been described as the UK’s most generous philanthropists and have both said they lead relatively modest lives, given their wealth. Hohn, the son of a Jamaican car mechanic who attended Southampton University before Harvard, described their lifestyle as being more of “Swatch” than jet-set.

During proceedings, he told the court: “Over the long term I am an unbelievable money-maker.” He said he was a billionaire and in the “top 10” career investors, but also that he did not “really care about money” and money did not bring happiness.

He had visited the Philippines when he was 20, he said, and vowed that if he ever had enough money to help poor children he would. By his mid-30s he had been in a position where he could retire and raise money for charity.

Cooper-Hohn told the judge she worked long hours on behalf of their charitable foundation. They had both wanted to “make the world a better place”.

Hohn had argued that his former wife should receive a reduced settlement because he was the “key man” who had made a special contribution to the accumulated wealth.

Hohn runs The Children’s Investment Fund Management (UK), a hedge fund which mainly returns profits to a charitable foundation. TCI controls investments worth around $8bn, including holdings in Moody’s and Royal Mail.

The Children’s Investment Fund Foundation (CIFF), the charity established by the couple and chaired by Cooper-Hohn, is believed to hold $4.3bn. Last year, during a summit hosted by David Cameron, CIFF pledged to spend more than £500m tackling childhood malnutrition around the world.

Hohn’s counsel, Lewis Marks QC, said: “The husband was the sole decision-maker in this enterprise, makes all the investment decisions and is the regulated person as far as the Financial Services Authority is concerned. Without him there is no business.”

But Alison Hawes, a partner and family law specialist at Irwin Mitchell, said: “The approach of the court is not to discriminate between the roles that the respective spouses have fulfilled. The contributions of the party who has taken a parenting or supportive role are equally valued.”

However, in cases where enormous wealth has been amassed, the party who directly generated most of the fortune may argue he or she has made a “special contribution” in the form of some element of genius or truly exceptional talent, she added.

“This enables judges to take a bespoke approach, but many people feel this means there is a lack of clarity as to the likely outcome of their case.”

Mrs Justice Roberts has yet to deliver a detailed ruling, but a draft version has been given to both parties. Neither party commented as they left court, although sources close to Cooper-Hohn indicated she would want to examine the percentage she had been awarded before deciding future moves.

The previous largest payout was £100m-£200m believed to have been paid to Galina Besharova, the former wife of the exiled Russian oligarch Boris Berezovsky.