Blue City

Henk Keilman is currently involved in a series of legal proceedings across four jurisdictions: the Netherlands, the Cayman Islands, Poland and the United States. There are four main cases which are interlinked and connected by the same cast of characters. Please see below for an outline of the Blue City dispute.

Blue City

The Blue City dispute is between Keilman’s company, A and M Services Limited (“AMS”) and Singspiel Investments BV (“Singspiel”) over the repayment of loans made by AMS to Singspiel and a 10% call option in a real estate project in Poland. Singspiel is the Dutch holding company, that owns the various real estate assets that form part of the Blue City project and of which Shiboleth is a director.

Between 2000 and 2002, Keilman assisted Israeli lawyer and business partner, Amnon Shiboleth (“Shiboleth”) with the acquisition of a real estate project in Poland (“Blue City” project). Keilman helped to establish the original tax structures – including the Curacao company SPM International N.V. (“SPM”) and Singspiel – that purchased the Blue City project. Keilman also provided a number of loans to Shiboleth, initially through his company Jerba B.V. (“Jerba”) and later through AMS. Keilman’s total loans to Shiboleth/the project were for $3.6m.

Keilman made $3.6m in loans to Shiboleth in exchange for a 10% call option in the Blue City project as well as the repayment of the loan plus interest. Following a restructuring, the loans were ultimately made by Keilman’s company AMS to Singspiel Investments BV (“Singspiel”) – an investment vehicle which controls the Blue City assets.

At present, the loan – including interest – amounts to approximately $13m. Keilman has brought proceedings in the Netherlands seeking repayment of the Singspiel loans and to exercise the 10% option.

In August 2015, AMS served a writ of summons to Singspiel Investments BV in the Dutch courts. Singspiel filed a statement of defence on 13 April 2016. A hearing is expected to be scheduled for autumn 2016.