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This startling piece of information was disclosed in a 29 January 2025 ruling by District Judge Royle in the matter of Omega Infinite PLC vs Martin and Janet Frost. 

The letter was included in an evidence bundle submitted by Martin Frost in a hearing on an application filed by Begbies Traynor on behalf of Omega Infinite to evict the Frosts from flat # 2 at The Belvedere, 57 The Esplanade, Scarborough.

For those who have not followed this matter closely, in December of 2023, District Judge Royle ruled that Martin Frost had purchased two flats (#2 & #4) in that building for himself personally, using funds belonging to Omega Infinite. Many, with more expert knowledge of these matters than I, would call this “embezzlement”.

A side note here:  Crown Office and Procurator Fiscal Service/Police Scotland – Hey, are you reading this??  Almost two years ago, a District judge ruled that Martin Frost had taken money belonging to a company to which he had a fiduciary duty and diverted it for his personal use. He did this without authorisation from the Board or shareholders.  This is a crime. The amount of money involved was significant - £425,000!!  Where are you??

But back to the ruling.  In 2023, Judge Royle ruled in favour of Begbies Traynor, and they were granted ownership of the flats.  Having lost this case, the Frosts then claimed that Mrs. Frost had a valid lease on flat #2, which the joint liquidators, acting on behalf of Begbies Traynor, should be bound to honour.  So the joint liquidators took possession of flat #4, which they subsequently sold. But the matter of flat #2 was scheduled for a further hearing.

The outcome in a minute, but first, back to the somewhat astounding President’s letter.  Here is how Judge Royle described it. 

“The document does not deal with the issues (at trial), and appears to ventilate what appear to be the Frost’s complaints about the process which has led to the position they find themselves in.”  Judge Royle then mentioned that this supposed letter from President Biden was unsigned. 

(Hmmm.  Unsigned.  Well, there have been rumours to the effect that Joe Biden was getting forgetful.)

In his written Judgement, the Judge also explained that there had been repeated claims by Frost of serious ill health, the latest being a stroke. Commenting on these health claims, the Judge went on to explain that despite his (the Judge’s) repeated requests, “None of them has been accompanied by proper medical evidence as to condition or prognosis”.

As to the evidence submitted by the Frosts, to quote the judge, “It is no overstatement to say that the vast majority of it was entirely irrelevant to the issues at hand.”

In essence, the Frosts were relying on a claim that Janet had a lease on #2, and they submitted two separate “agreements” that they claimed supported this claim.

There were problems with this assertion. The first was that back in 2023, they had claimed the lease to Janet was from Loch Lomond Heritage, which they claimed actually owned the flat, whereas now they were claiming that the lease was from Avocet Bio Solutions, which they claimed actually owned the flat.  Hmmm. 

The other problem was that both “agreements” were dated well after the date when other evidence had conclusively proven that the flats had been transferred into Martin Frost’s sole name.   So he personally owned the flats well before either LLH or ABS - take your pick - supposedly leased it to Janet.

Sorry, Martin, you lose again.  Don’t worry.  It is a common problem.  Mark Twain described it thus: “The problem with lying is that you have to keep track of all the lies you have told.”

So the Frosts have now been evicted, and the liquidators' 26 June 2025 Progress Report states that an offer for flat #2 has been received and accepted!  Great news!

But wait, there is even more good news!!

As you may recall from Bill Chisholm’s excellent reporting, an earlier Progress Report had revealed that the joint liquidators also had claims against Bedroom Bob and his wife.  These claims had been sold to Manolete Partners PLC, a specialist insolvency litigation financing company, in return for £10,000 and a share of any future awards or settlements obtained by Manolete. 

The June 26th, 2025 Progress Report states that one or more of those claims has now been settled, and that Omega’s share of that settlement amounted to £41,556.28.

Now, this may seem little at first, but it is not.   Here is why. Because Manolete had paid £10,000 in advance and is bearing all the litigation expense and risk, we can safely assume they were to receive the larger portion of any court award or settlement.

So let's assume the joint liquidators were to receive 25% and Manolete 75%.  Simple math tells us that the total settlement amount was £166,200.  But that’s not all.  The proportional distribution to Manolete and Omega was done after deducting all of Manolete’s legal expenses.  Let’s use a conservative estimate of £10,000 for those expenses.  The total settlement paid by Bedroom Bob could have amounted to an estimated £176,000, and likely more, depending on legal costs.

Nice to see some justice meted out for what, in my opinion, was an abject failure to perform even the basic fiduciary duties of a director. 

And there is more to come!  We know that Aver’s legal action against Bedroom Bob (which was for £2,389,620 way back in November of 2023, and is likely for much more now, due to interest charges) has still to be settled. 

Also, we have some indications that, sadly, all is not well between Frost and his accomplices based on hints in “Rebecca’s” correspondence. (Thanks, Tristan!!). To quote "Rebecca":

“…duplicity by the Jennings legal has delayed your compensation.”

“..this would not have been necessary had it not been for those lies being perpetuated by the Jennings legal team’. “

Well, you know, behavioural scientists do tell us that when cornered, rats tend to turn on each other.

In closing, I have said this before, but we all owe the insolvency practitioners and their legal counsels a debt of thanks for doing what the legal system has so far abjectly failed to do – obtain a measure of justice!

And if you have a few spare minutes, I suggest you write to your elected representatives and ask them why, two years after a District Judge has ruled that Martin Frost had improperly taken £425,000 from a company and diverted it to his personal use, no criminal charges have been filed. 

I would be most interested to hear what, if any, answers you receive!