Decision of the Complaints Committee 12317-15 Levi v The Times
Summary of complaint
1. Daniel Levi, acting on behalf of Sefton Resources
Inc, complained to the Independent Press Standards Organisation that The Times
breached Clause 1 (Accuracy), Clause 3 (Privacy), Clause 4 (Harassment) and
Clause 10 (Clandestine devices and subterfuge) of the Editors’ Code of Practice
in an online article headlined “The armed robber who rode into the Wild West”,
published on 27 July 2015, and an online article headlined “New questions over
armed robber’s funding”, published on 28 July 2015.
2. The 27 July
article, which had been written by a freelance reporter and a staff reporter, said
that the complainant, who was standing down as executive chairman of an oil company
called Sefton Resources, had previously been known as David John Hopkins. It
stated that the complainant, as Mr Hopkins, had been convicted of armed robbery
and had “a reputation for violence and for having links to Britain’s criminal
underworld”. It reported that by not disclosing his previous name and by
failing to disclose an unspent conviction, the complainant had breached the
rules of AIM, a sub-market of the London Stock Exchange.
3. The second
article reported that the complainant had links to Mohammed Waris Ashraf, a
businessman who had been convicted for drug offences in 1997, but had been
cleared in 2005. The registration details for an investment website called guerillainvesting.co.uk
had stated that the site was owned by Mr Ashraf “trading as Daniel Levi
Associates”, the company through which the complainant had invested in three
oil companies, including Sefton Resources. The article said that this
contrasted with stock market information, which had referred to DLA as “a
partnership between Daniel Levi and Christopher Williams”. It stated that the
complainant had “tabled a rescue fundraising for Sefton”, as part of what he
had called “the SaveSure Consortium”. It said that Mr Ashraf had been the owner
of two dissolved companies called Savesure Management and Savesure Management and
Trading, but that the complainant had said that Mr Ashraf had not funded the
“Sefton rescue”; the choice of name had been “coincidental”.
4. The complainant
said that before the first article was published, the freelance reporter had
attempted to “extract/extort” money from Sefton Resources. He said the reporter
had told the company that he was working with a “private investigator”, and
that he had sought payment for “investigative services”. He said the reporter
and his partner were not “registered private investigators”; they had used
subterfuge to request confidential information about him. The omission of the
fact that the journalist had attempted to extract money from the company had
rendered the article misleading. He also provided an email from the freelance
reporter to Sefton Resources’ Financial Consultant, dated 21 August 2015, in
which he appeared to ask for assistance in “exposing” the complainant further.
5. The complainant
also contended that the staff reporter had called Mr Ashraf four times, and had
pretended to be a potential buyer for guerillainvesting.co.uk; he provided a
statement from Mr Ashraf to that effect.
6. The complainant
said that his relationship with Mr Ashraf was not a secret and so the use of
subterfuge was not justified. He explained that Mr Ashraf owned guerillainvesting.co.uk,
and he had a partnership agreement with him to blog on the site. It was not the
case that this relationship should have been declared. He considered that the
newspaper had no evidence to support its suggestion of criminal activity. He
said Mr Ashraf had amended the website’s registration details because he was
concerned about harassment from the newspaper.
7. The complainant also
claimed that the journalists had contacted his broker alleging that his
passport was fake and that he had been “laundering money”; both reporters had
made false allegations to various legal authorities, including the American
consulate alleging that his entry to the USA had been illegal; and his
ex-partner had received a number of anonymous phone calls at night, including
one in which the staff journalist had pretended to be a friend. He said this
conduct constituted harassment. In addition, he said that the journalists had
obtained private, confidential information about him, including copies of his
passport, VAT registration documents, National Insurance Number, and his
ex-partner’s contact details.
8. The complainant
provided emails sent between the reporters in January 2016, following his
complaint to IPSO, in which they appeared to discuss the complaint, the
proposition to Sefton Resources, and a potential follow-up piece. He argued
that the tone of the emails demonstrated that the journalists had a vendetta
against him.
9. The newspaper
said that it had been unaware of the freelance journalist’s investigation into
the complainant’s criminal background until 19 July 2015 when the reporter
contacted its Business Editor. The staff reporter subsequently became involved
in checking the information provided by the freelancer in preparation for an
article.
10. The newspaper
provided the business proposal that the freelance journalist had made to Sefton
Resources on 1 July 2015. In the proposal, the journalist explained that he and
a partner were creating a consultancy specialising in “background checks and
person-focused due diligence for AIM-listed companies”. He said that his
previous efforts had allowed him to “publish numerous articles on
ShareProphets, as well as sell one story to The Times”. He proposed to produce
a report on the background of “Daniel Levi, formally known as David John
Hopkins”, which would verify the information that he had supplied on his CV and
questionnaire that had been submitted to the nominated company advisor. He said
that to do this, he required a copy of the complainant’s CV and the
questionnaire. The newspaper considered that it was “ludicrous to categorise
this as an attempt at extortion or blackmail”: the company had not accepted the
offer, and the freelance reporter had continued his investigations
independently.
11. The newspaper
said that the freelancer had obtained his information on the complainant using
publicly available sources. The staff reporter had also checked the information
using public sources, and by speaking to people who were involved with the
complainant and his business activities.
12. The newspaper accepted
that it had used subterfuge in order to verify that Mr Ashraf was a “secret
backer” of the complainant: the staff reporter had called Mr Ashraf and had
introduced himself as someone who was interested in buying guerillainvesting.co.uk. The decision
had been taken by a senior editor, with advice from the legal department.
13. The reporter had
learned that the complainant had invested in Sefton Resources through DLA,
which had been described in Stock Market announcements as “a partnership
between Daniel Levi and Christopher Williams”. The reporter checked the domain registration
details for the website and found that it was described as being owned by Mr
Ashraf “trading as Daniel Levi Associates”. This relationship was not
acknowledged on the website and the reporter could find no reference to it
anywhere else. The newspaper did not consider that the domain registry
information was sufficiently reliable to justify an accusation of a secret
relationship between Mr Ashraf and the complainant. It noted that the registry
information was changed on 27 July, the day before the second article was
published.
14. The newspaper
said that if a reporter had telephoned Mr Ashraf and had identified themselves
as a journalist it was highly unlikely that Mr Ashraf would have answered
honestly. The newspaper also believed that as Mr Ashraf had served several
years in prison for a conviction that was later quashed, it was unlikely that
he would be open and cooperative with a reporter asking questions about his
relationship with a convicted bank robber.
15. It considered
that there was a clear public interest in exposing the complainant’s past so
that potential investors and others considering doing business with him would
be fully informed about it. It argued that there was also a public interest in
disclosing Mr Ashraf’s secret link to the complainant and DLA. The connection
raised questions about whether the complainant had been honest with Sefton
Resources and investors when he had described DLA as a partnership between himself
and Christopher Williams. The newspaper also considered that the level of
subterfuge used was proportionate to the public interest it had identified: it
had involved a brief phone call.
16. The newspaper
said that the freelance reporter had been sent a photocopy of the complainant’s
passport by a source; it denied having any of the other documents alleged by
the complainant. It also denied that its reporters had called the complainant’s
ex-partner, and that they had made false allegations to legal authorities, the
complainant’s broker or to an American consulate.
17. The newspaper said
the conduct of its reporters had not amounted to harassment; their enquiries had
been entirely proper. It also noted that the emails that the complainant claimed
had been exchanged between the reporters in January 2016 had been doctored:
they appeared to have been sent from the freelancer’s email address, but they
had not. The staff reporter had replied to one email, which appeared to have
been sent from the freelancer’s email account, but he had become suspicious
when he received the reply.
Relevant Code provisions
18.
Clause 1 (Accuracy)
i. i) The Press must take care not
to publish inaccurate, misleading or distorted information, including pictures.
ii. ii) A significant inaccuracy,
misleading statement or distortion once recognised must be corrected, promptly
and with due prominence, and - where appropriate - an apology published. In
cases involving the Regulator, prominence should be agreed with the Regulator
in advance.
iii. iii) The Press, whilst free to be
partisan, must distinguish clearly between comment, conjecture and fact.
Clause 3 (Privacy)
i) Everyone is entitled to respect for his or her private and family life, home, health and correspondence, including digital communications.
ii) Editors will be expected to justify intrusions into any individual's private life without consent. Account will be taken of the complainant's own public disclosures of information.
Clause 4 (Harassment)
i) Journalists must not engage in intimidation, harassment or persistent pursuit.
ii) They must not persist in questioning, telephoning, pursuing or photographing individuals once asked to desist; nor remain on their property when asked to leave and must not follow them. If requested, they must identify themselves and whom they represent.
iii) Editors must ensure these principles are observed by those working for them and take care not to use non-compliant material from other sources.
Clause 10 (Clandestine devices and subterfuge)
i) The press must not seek to obtain or publish material acquired by using hidden cameras or clandestine listening devices; or by intercepting private or mobile telephone calls, messages or emails; or by the unauthorised removal of documents or photographs; or by accessing digitally-held private information without consent.
ii) Engaging in misrepresentation or subterfuge, including by agents or intermediaries, can generally be justified only in the public interest and then only when the material cannot be obtained by other means.
The public interest
1. The public interest includes, but is not confined to:
i)
Detecting or exposing crime or serious impropriety.
ii)
Protecting public health and safety.
iii) Preventing the public from being misled by an
action or statement of an individual or organisation.
2. There
is a public interest in freedom of expression itself.
3. Whenever the public interest is invoked, the
Regulator will require editors to demonstrate fully that they reasonably
believed that publication, or journalistic activity undertaken with a view to
publication, would be in the public interest and how, and with whom, that was
established at the time.
Findings of the
Committee
19. It was accepted that before the first article was published, the
freelance reporter had approached Sefton Resources offering to carry out an
investigation into the complainant’s background. In the business proposal, the
reporter had given his own name and had been open about his role as a
journalist: he had said he had previously published articles about AIM-listed
companies, and had supplied an article to the newspaper under complaint. The
reporter had not engaged in misrepresentation or subterfuge. There was no breach
of Clause 10 on this point.
20. Sefton Resources had rejected the reporter’s business offer, and had not
supplied him with information about the complainant. Given the nature of his
approach, the reporter was not prohibited under the terms of the Code from
continuing his investigation independently for an eventual article. The
newspaper was not obliged to mention the proposal in its coverage of the story;
the omission of the information was not misleading. There was no breach of
Clause 1 on this point.
21. It was not in dispute that the domain registration details for guerillainvesting.co.uk
had said that the site had been owned by Mr Ashraf “trading as Daniel Levi
Associates”, while stock market announcements had referred to DLA as “a
partnership between Daniel Levi and Christopher Williams”. The newspaper had
been entitled to highlight in its report that the website’s registration
details appeared to contrast with information given to shareholders and
potential investors in DLA. The article had included the complainant’s
statement that Mr Ashraf had not funded the “Sefton rescue”. There was no
failure to take care over the accuracy of the article in breach of Clause 1.
22. The newspaper had accepted that it had engaged in subterfuge in order to
verify the registration details for guerillainvesting.co.uk with Mr Ashraf. To comply with the Code, the
newspaper had to demonstrate that it had genuine reason to believe that
subterfuge would uncover material that was in the public interest, and that the
level of subterfuge employed was proportionate to the public interest the newspaper
had identified.
23. The newspaper had detected potentially conflicting information about the
sources of DLA’s funding. There was a clear public interest in investigating
whether shareholders and potential investors had been given misleading
information. The subterfuge had involved one telephone call in which the
reporter had claimed to be a potential buyer for the website. There was no
suggestion that he had presented an involved backstory, and he had not met with
Mr Ashraf face to face. The Committee considered that this level of subterfuge was
minimal and proportionate to the public interest identified. It was reasonable
for the newspaper to conclude that it could not have verified the connection
between Mr Ashraf and Daniel Levis Associates by open means. The newspaper had
justified its methods. There was no breach of Clause 10.
24. There was no evidence to suggest that the newspaper had obtained
confidential documents, which had contained private information about the complainant.
If the newspaper had been passed such documents, it had not relied on them for
the articles under complaint. The newspaper had based the articles on publicly
available sources, and had made journalistic enquiries as previously described.
The complainant’s criminal record and previous name were matters of public
record, and the newspaper had detected potentially conflicting information in
public records relating to the complainant’s funding declarations. The
newspaper had not disclosed private information about the complainant in breach
of Clause 3.
25. The complainant had contended that the reporters’ conduct had amounted to
harassment. The newspaper and the complainant had provided differing accounts,
which the Committee could not reconcile. However, the reporters had been
entitled to carry out their inquiries into the complainant and his background,
as long as they did so in accordance with the requirements of the Editors’ Code
of Practice. There was no evidence that they had persisted with questioning the
complainant once asked to desist. The complaint under Clause 4 was not
upheld.
Conclusions
26The complaint
was not upheld.
Remedial action required
N/A
Date complaint received: 30 December 2015
Date complaint concluded: 18 April 2016