Fladgate Settles Izodia Case for £7,800,000

The law firm Fladgate have settled with the dot com firm Izodia for £7.8 million after it was alleged they breached their fiduciary duties by acting for both Izodia and their former director Gerald Smith, who had recently been found guilty of defrauding the company of over £36 million.

Izodia claimed that Fladgate failed to disclose information of Mr Smith's fradulent behaviour and later attempted to cover up the fraud by resisting the appointment of independent solicitors to investigate what happened, as well as deliberately misleading an independent advisor brought in by Izodia, making for a convincing Professional Negligence case.