Naggar,67,wasborninCannesandstudiedengineeringattheEcoleCentrale,Paris。

HetrainedasamerchantbankerbeforemovingtoLondoninhis20sandbecomingdeputychairmanofCharterhouseBank。

Klimt,alsoatrainedengineer,sharedhispartnersloveofart。

DawnayDaysofficesinGrosvenorGardensmorecloselyresembledaprivateartgallerythanacompanyHQ,saysTheSundayTimes。

Theunconventionalcollection,whichincludedaTraceyEminwheelbarrowfilledwithrubbishandbarbedwire,mirroredtheaggressivestylewithwhichNaggarbuilthisfirm。

Atitspeak,saysTheSundayTelegraph,DawnayDaywasthelargestplayerinAim-listedpropertymanagement,withthreelistedvehicles,Carpathian,SiriusandTreveria,focusedonGermanandEasternEuropeancommercialproperty。

UnderKlimtsguidance,thegroupalsomovedintofinancialservices,rangingfromstockandcommoditybrokerages,throughaunitspecialisinginIslamicfinance,toawealthmanagementbusinessinIndia。

Muchoftheempirewasamassedoutofthepublicgaze。

Butrecenttrophyassetpurchases–includingLondonrestaurantTheWolseley–puttheminthelimelight。

Bythestartoftheyear,theirmagpiecollectionincludedAustinReed,apropertyventureinHarlem,andinterestsinthesci-fifilm,SleepDealer。

DawnayDayseeminglyhadafingerineverything。

Therearetwoguidingprincipleswevehadallthewaythrough,Naggarsaidlastyear。

Oneisbacktalent。

Twoisbuyhardassetswithdeepvalue。

Wealsoliketohaveourownmoneyinfunds。

Weliketofeelwereatrisk。

Followingtheswiftcollapseofhisempire,saysTheTimes,thesecommentsmayhavecomebacktohaunthim。

DawnayDay:anamazingpast…andagrimfuture

DawnayDaywasfoundedbyMajorJulianDayandGeneralGuyDawnayin1928。

ThelatterwasthecommandingofficerofLawrenceofArabia,andreputedlyinspiredLawrencesremarkthatADawnayisworthathousandcamels。

Thegroupprovidedfinanceforgrowingbusinesses(ithelpedbringMarksSpencertomarket)andspentadecadeintheRothschildempirebeforebeingboughtbyNaggar。

Whilethereseemednoparticularphilosophybehindthegroupspurchases,NaggarandKlimthadareputationforcaution。

OnepropertyexperttoldTheSundayTelegraph,whatishappeninghasamazedthemarket。

Yet,withhindsight,DawnayDaywasanaccidentwaitingtohappen,saysClaerBarrettinInvestorsChronicle。

Thebasicmodusoperandiwasdrivingdebttothemaximumlevelonvirtuallyeverythingtheybought。

NaggarboastedthatbecauseDawnayDaywasprivatelyheldtheycouldmakedecisionsveryquickly,saysTheSundayTimes。

Buttheupshotwasawebofsubsidiariesconnectedbyintercompanyloansandcross-shareholdings,ownedbythefirmorNaggarandKlimt。

Thiscreatedatoxicmixwhenthepropertymarketcollapsed。

TheimplosionbeganwhenDawnayDaycreditor,Landsbanki,issuedamargincall,forcingthegrouptosella20%stakeinFCAssetManagementatan£80mloss。

WhenfellowcreditorNorwichUnionfollowedsuit,thegamewasup。

MuchofthefirmisnowinthehandsofadministratorsandthefutureforNaggarandKlimtlooksgrim。

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