Pogust Goodhead spent years building a reputation as one of Britain’s most ambitious class-action law firms, taking on corporate giants like BHP and Volkswagen on behalf of hundreds of thousands of claimants and securing one of the largest litigation funding deals in history.
Over the past year, that reputation has been overshadowed by a scandal involving private jets, mounting debt, and a bitter fight for control of the business its own founders once built together.
How the Trouble Began
Founded in 2018 by Tom Goodhead and Harris Pogust, the firm grew rapidly after securing a landmark 552.5 million dollar financing deal from US hedge fund Gramercy in 2023. Goodhead was suddenly removed as chief executive last summer following a reported falling-out with the firm’s investors, and one of the earliest details to emerge was a 4.2 million pound director loan written off by Pogust Goodhead that had been extended to Goodhead himself.
That single figure quickly became a symbol of the wider governance concerns that would follow, as more details of the firm’s spending began to surface.
Private Jets, Yachts and the DLA Piper Report
An internal investigation led by law firm DLA Piper reportedly found evidence of excessive and uncontrolled spending during Goodhead’s tenure. Insiders described frequent private jet and helicopter travel, business-class flights, luxury hotel stays, and staff yacht parties.
Combined travel and hospitality costs are said to have exceeded five million pounds between 2023 and 2024, alongside possible breaches of the firm’s funding agreements with Gramercy and an earlier backer, NorthWall Capital. Pogust Goodhead has said the alleged conduct is deeply concerning and does not reflect the firm’s values today.
The Boardroom Battle and Its Aftermath
Goodhead has firmly denied any wrongdoing, describing his removal as a boardroom coup rather than a legitimate governance decision, and insisting the firm was financed through commercial loans rather than client money. He has also said he is still personally owed 2.7 million pounds for money he injected into the firm to help cover staff payroll shortly before his departure.
In the aftermath, restructuring consultant Huw Dolphin took on majority voting control of the firm, while former COO Alicia Alinia stepped in as interim chief executive, against a backdrop of overdue accounts showing a 2022 pre-tax loss of close to 292 million pounds, total debts climbing to 97.5 million pounds by 2023, and auditors flagging material uncertainty over the firm’s future.
Conclusion
Pogust Goodhead’s new leadership says the firm has since strengthened its governance and financial controls, including a further 65 million dollar injection from Gramercy, and that it remains committed to its flagship cases, including its ongoing litigation against BHP.
What began with reports of a written-off loan and lavish travel has since grown into one of the most closely watched governance disputes in the litigation funding industry, with the Mariana dam claimants, diesel emissions clients, and staff all waiting to see how the story ends.
