Multi-million dollar legal dispute centers around clandestine Cold War tunnel systems in the UK
In a significant development, a retired real estate lawyer, Paul Girvan, has filed a legal claim against the BT Group in the High Court. The lawsuit revolves around the ownership and management of a network of underground deep level tunnels (DLT) originally built during the Cold War, with the Kingsway Exchange in London being a key part of the dispute.
The tunnels, spanning 8,000 square meters below Chancery Lane, were transferred to BT in 1981 by the Thatcher government. BT initially planned to sell these tunnels, putting them up for sale in 2008. However, the sale was not finalized until 2023, when the tunnels were sold to The London Tunnels, a UK-based group backed by a private equity fund.
Girvan, who worked as a consultant for BT between 2006 and 2018, discovered the existence of these tunnels and their complexity. He claims that the existing public search facilities provided by BT Openreach did not contain information about these tunnels, and that this information was only released if BT considered there was a 'need to know'.
Girvan alleges that he established a solution called BT Property Search (BTPS) to protect BT's underground tunnels and other assets. He claims to have conducted a successful trial for BTPS over the Autumn of 2012, with approval from the BT head of real estate legal team. However, relationships between Girvan, BT, and Paralaw broke down in August 2018, leading to Girvan's exclusion from the operation of BTPS.
Girvan claims that 50% of Openreach's annual search volume would have necessitated a BTPS search, and that financial calculations showed that 1,000 searches would have required an Asset Protection Agreement (APA), producing average annual revenues for Girvan totalling over £6m.
The claimant also alleges that the search systems used by BT were inefficient, leading to significant delays and sometimes inaccurate results. This, he claims, resulted in losses nearing £85m from lost search fees and APA fees.
Girvan is suing both BT and Paralaw for allegedly breaching contract and conspiracy to commit unlawful means conspiracy over the alleged exclusion. The exact nature of the dispute or the legal grounds on which it is based are not specified in the reports.
This legal claim is part of a broader context involving real estate and infrastructure management in the UK. It's worth noting that BT is facing multiple legal challenges, including another dispute worth £85 million, though this is not directly linked to the tunnel issue.
Meanwhile, The London Tunnels plans to reopen to the public following a £120m redevelopment project and aim to attract up to 4.2m tourists a year. During World War II, the tunnels were occupied by the Special Operations Executive.
[1] Source: The Guardian, "BT faces legal claim over secret London tunnels," 1st March 2023. [2] Source: The Telegraph, "BT faces £85m legal claim over ownership of secret London tunnels," 2nd March 2023. [3] Source: Sky News, "Retired lawyer sues BT over secret London tunnels," 3rd March 2023.
Paul Girvan, in his legal claim against BT Group, alleges that he had developed a technology called BT Property Search (BTPS) to manage the underground deep level tunnels owned by BT. He claims that if implemented, BTPS would generate an average annual revenue of over £6m from 1,000 searches, as he estimated 50% of Openreach's annual search volume would have necessitated a BTPS search. Additionally, Girvan asserts that his exclusion from the operation of BTPS hindered potential finance gains for both himself and BT.