Harrods launches compensation scheme offering up to £400,000 for victi | UK | News

A compensation scheme offering victims an estimated £400,000 for sexual abuse commited by Mohammed Al Fayed whilst he ran luxury department store Harrods, has gone live. The scheme launch comes after Harrods, the Knightsbridge department store Mr Fayed bought in 1985, faced a deluge of allegations of sexual misconduct by the businessman made by former employees.

Fayed, who died in 2023 aged 94, is accused of multiple counts of rape and attempted rape by women who worked at Harrods. Allegations include claims Fayed sexually assaulted a 15-year-old girl inside Harrods’ boardroom. Another woman who worked as Fayed’s personal assistant says the businessman raped her in his luxury apartment that overlooked London’s Hyde Park.

The scheme was launched online along with an unreserved apology from the company.

Tom Fletcher, head of Irwin Mitchell’s abuse claims department, which is representing a number of victims, said: “The widespread sexual, physical and psychological abuse connected to Al Fayed and Harrods which was seemingly enabled over many years may be well documented, but is nonetheless truly shocking.

“Nothing can ever make up for the terrible ordeals our clients have been through. Not only do they deserve the abuse they endured to be recognised, but they also deserve an appropriate level of compensation allowing them to access the specialist support they require to try and move forward with their lives.

“Although it could be argued that the scheme doesn’t quite go far enough to reflect the gravity of what happened here, with some of the damages payments remaining low, and narrow in scope, we do cautiously welcome the scheme.

“The alternative for survivors would be to continue in the conventional way of bringing a claim at court. This has considerable risk and the potential of having to walk away with nothing from this terrible ordeal after years of difficult litigation. Applying to the scheme, where eligible, could really speed up the legal process for hundreds of survivors.

“Of course, it remains an option, if survivors feel the scheme isn’t suitable for their complaint, to seek legal advice in respect of this alternative redress. It’s therefore vital that survivors seek independent legal advice so they can be guided through a complex legal process and are aware of the options available to them.”

Among the survivors Irwin Mitchell is representing is a woman who reported being sexually abused by Fayed while a Harrods employee before being forced to undergo an internal medical examination.

The woman in her 50s, who cannot be named for legal reasons, said: “No doubt like many others I attempted to put what happened to the back of the mind. However, no matter how hard I tried it was still there.

“I never really came to terms with what happened and how it affected my life. It was only following the Keaton Stone documentary last autumn, that I came to understand the extent of the trauma I’ve endured over many years.

“That compelled me to allow the redress scheme the opportunity to address some of the emotional distress I experienced during my employment at Harrods, particularly concerning the distressing and unnecessary medical testing and intrusive internal examinations which were conducted for completely unacceptable and unwarranted reasons.

“I’d rather the abuse never happened as I wouldn’t have suffered years of turmoil and I wouldn’t have found myself having to bring a legal claim. However, I can’t undo what’s happened but hope that my legal case gives me the justice I feel I deserve so I can try and move on with my life.”

Another survivor in her 40s represented by law firm Irwin Mitchell said: “There are no words to describe the impact that Mohamed Al Fayed has had on me and other survivors.

“Hearing that the medical was used for his own personal gain has left me feeling retraumatised and those memories all came flooding back.

“The memories and fear from that fateful night he sexually assaulted me are never going to go away but I hope Harrods does all everything they can to try and right the wrongs of a serious and persistent sexual predator who abused his position of power and trust. I considered it to be a privilege to work for Harrods but sadly, it ended with disillusionment and trauma.”

The lawyer said he remained concerned that at least 23 complaints of sexual abuse by Al Fayed were made to the police before he died, yet no prosecution was forthcoming but encouraged officers to keep exploring if people who are still alive and aided the Egyptian-born tycoon in his offending, be brought to book. And he called for full transparency over the multiple probes into Al Fayed’s depraved behaviour.

He added: “Whilst the police continue to investigate possible criminal conduct by “enablers” at Harrods, there’s no indication of the timetable for this review to be conducted or whether the findings will be released.

“Whilst Harrods has publicly committed to its own internal review of how this systematic and widespread abuse was allowed to occur, there has been no detail published of what this will entail nor any detail of when it will be completed and whether the findings will be shared with those affected. We ask that Harrods provides urgent clarification on this.”

Women who worked for Mr Fayed’s other ventures, including Fulham FC and the Ritz Hotel Paris, have also alleged they were sexually abused by the billionaire.

Harrods itself, which is now owned by the Qatar Investment Authority, has said it has already settled with more than 250 former employees who alleged abuse.

The Knightsbridge store has also reportedly increased the maximum amounts it is offering in compensation to ex-Harrods staff who were abused by Mr Fayed, from sums of £330,000 to £400,000.

A spokesperson said: Harrods apologises unreservedly for the sexual abuse inflicted upon survivors by Fayed who abused his power wherever he operated. We acknowledge survivors were failed. Harrods recognises the profound and devastating consequences of sexual abuse. While nothing can undo the abuse which survivors have suffered, Harrods wants everyone who is eligible to receive this compensation.

“MPL Legal are instructed by Harrods to act on their behalf in relation to claims arising from acts of

sexual abuse by Fayed as Chairman of Harrods.

“This Scheme is proposed as a without prejudice form of Alternative Dispute Resolution (ADR). The

intention is to provide survivors with a trauma informed alternative to litigating against Harrods.

Harrods has sought to design a fair, reasonable and swift redress scheme that should be simple for

Applicants to access. Harrods recognises the traditional court process risks re-traumatising survivors.

As a result, the Scheme is designed for offers to be made on the basis of documentary evidence only,

i.e. Applicants will not be asked to give evidence orally at a hearing.”

The company added that the making of an application to the scheme does not involve the waiver of any right of action for damages which the applicant may have in the civil courts or elsewhere but said if an applicant decides to accept an offer made under the scheme, this will be in full and final settlement, as outlined in the Form of Discharge.

They added: “Whilst it is recognised many individuals may have been impacted by Fayed, applications to the Scheme are limited to those who have potential claims against Harrods for acts of sexual abuse perpetrated by Fayed.

“The Scheme is funded by Harrods.”

Al-Fayed was born the son of a school inspector in Alexandira, Egypt in 1929. He started his career selling fizzy drinks on the streets of his home city before branching out to furniture and shipping.

He moved to London in 1964, where he cultivated linked to British high society including the Royals, before acquiring Harrods for £615m in 1985. He sold it to the Qatari royal family for a reported £1.5bn in 2010.