Vannin Healthcare Global, an island-based medical equipment supplier, has been ordered to pay $4.3m by an American court.
The case related to undelivered PPE products bought by an Indiana-based firm in 2020.
In November 2020, Illumination International LLC paid Vannin Healthcare Global Ltd $2.8 million as a down payment on 705,000 boxes of medical gloves, which Vannin promised to deliver within 40 days.
However, the court heard that Vannin failed to deliver the gloves and then refused to return Illumination’s $2.8 million down payment, which led to the lawsuit.
After the two-day hearing, the jury in Indiana’s Commercial Court found in favour of Illumination on the count of breach of contract.
A second claim, against VHG and director Oliver van Veen for fraud in the inducement was dismissed.
The parties subsequently agreed to the dismissal of Oliver van Veen’s counterclaim against Illumination International LLC and its owner Rick Li.
Judge Heather Welch has since ordered that Vannin must pay $4,358,342.67, which includes the $3,324,161.00 in damages awarded by the jury and $1,034,181.67 in interest through December 15, 2022.
Speaking after the verdict, Mr Li said: ‘I had faith in the Indiana legal system.’
Records held by the Isle of Man’s Business Registry show that Vannin Healthcare Global Ltd is registered at Hampton Court, Quine’s Hill, Old Castletown Road, Port Soderick.
The registered owners are Peter, Oliver and Jullian van Veen and Sally Olliver.
Vannin Healthcare Global was invited to comment on this ruling, but at the time of going to press had not replied.