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A leading London lawyer has been dramatically forced out of his own law firm amid explosive allegations that money meant for legal battles was blown on private jets and champagne fuelled yacht parties. Thomas Goodhead, 43, co-founder of the high-profile law firm Pogust Goodhead, has been accused of blowing investor funds on extravagant travel and luxury hotels - including the £500-a-night Emiliano Hotel overlooking Rio de Janeiro's Copacabana Beach. He has insisted the spending was legitimate. The claims, uncovered by a damning internal probe by global law firm DLA Piper, threaten to derail a £36billion class action over the catastrophic 2015 Mariana dam collapse in Brazil - the country's worst-ever environmental disaster. While the devastated village of Bento Rodrigues - 250 miles from Rio - remains buried under toxic sludge 10 years after the tragedy, Goodhead was reportedly enjoying the comforts of a rainforest-themed spa and rooftop infinity pool at the five-star Emiliano, as per The Times. He travelled frequently to Brazil to oversee litigation against mining giants BHP and Vale, representing more than 620,000 claimants whose lives were destroyed when the dam burst, killing 19 people and unleashing a flood of poisonous waste. But according to DLA Piper's interim report, seen by the newspaper, Goodhead's trips were accompanied by 'unnecessary lavish travel and entertainment' and 'excessive, uncontrolled spending'. The report claims money meant for litigation was spent on luxury perks - including private flights, yacht parties and personal expenses. Between September 2023 and February this year, Goodhead allegedly ordered more than a dozen private jet and helicopter trips across Brazil at a total cost of around £82,000. Some destinations were remote, but others were well-served by commercial airlines. Invoices cited in the report show a £5,600 private plane journey from Vitoria to Rio de Janeiro, and anther from Sao Paulo to Rio costing £5,900. The report also details two yacht parties in Rio in August and December 2023, one featuring a 'premium package churrasco (Brazilian BBQ) and open bar,' with celebrations continuing at a local yacht club. Another gathering the following September cost £3,900. 'It was the optics issue,' one former employee told investigators. 'Tom wanted to present us as a magic-circle-esque firm, flying helicopters over disaster zones and partying on superyachts. But you're supposed to be client-first. It's not a jolly out to Brazil.' Staff were also treated to samba school visits, and more than £5million was spent on travel in 2023 alone - a year in which the firm suffered a £91million loss. The firm also reportedly poured over £100,000 intro producing a documentary about its work in Brazil. The report alleges Goodhead was so familiar a guest at the Emiliano that staff kept his clean laundry hanging in the wardrobe for his return. He allegedly insisted on 'the biggest suite' for every trip, missed multiple first-class flights - only to rebook them - and approved a £40,000 deposit for a wine lodge in Uruguay, which he later cancelled. 'There just wasn't the financial prudence for a business that ran entirely on debt until it won its cases,' a source close to the firm said. In 2022, Pogust Goodhead hosted a glitzy black-tie gala at London's Wallace Collection, which doubled as the firm's corporate event and Goodhead's 40th birthday. Guests sipped champagne under chandeliers as Goodhead blew out candles on a layered cake - an image that left some insiders uneasy. 'Lawyers are the tool to the cause, not the cause itself,' one remarked. DLA Piper's investigation found that more than £500,000 of personal expenses has been processed through the firm's director's loan account, including a driver's awareness course, accommodation during home renovations, and business-class tickets to Sydney for Goodhead's parents. The firm's debts exceeded £500million, and auditors warned of 'material uncertainty' about its ability to continue. Meanwhile, investigators claimed the firm's credit agreements with funders were breached. Goodhead's lawyer insists all spending was legitimate, settled through the director's loan account, and fully known to funders. 'Pogust Goodhead was financed by commercial loans, not client funding,' he said. 'No client or ring-fenced litigation funds were ever used for my personal expenditure.' In early August, lawyers at the firm reportedly awoke to find themselves added to a WhatsApp group titled 'hostile takeover'. Within days, Goodhead was suspended ad replaced as CEO by chief operating officer Alicia Alinia, who pledged a 'cultural reset' with a 'robust governance structure'. By September 12, Goodhead was officially out. He called the move a 'boardroom coup', claiming it was orchestrated by investors who wanted him to settle the Brazilian case prematurely. Several senior figures have since left the firm, including chief legal officer Chris Neill, who claims he was unfairly dismissed. Another partner, Ibar McCarthy, also left amid misconduct allegations, though he denies wrongdoing. The DLA Piper report has been sent to both the Solicitors Regulation Authority (SRA) and the Bar Standards Board, though it remains unclear whether formal investigations have begun. The SRA confirmed it is 'monitoring the firm closely.' Goodhead, for his part, insists he acted with integrity and that the allegations are part of a campaign to discredit him. In a statement to The Times, Goodhead said: 'When you build a firm that successfully takes on powerful corporate defendants, you make enemies.' Pogust Goodhead's new board says it has taken 'decisive action' and that those implicated 'no longer work for the firm.' Despite the turmoil, the Mariana dam case - one of the largest environmental lawsuits ever filed - continues. Damages could run into the billions, with Pogust Goodhead entitled to claim up to 30 per cent of the payout under a 'no win, no fee' arrangement. When the dam burst in 2015, the wave of toxic sludge travelled 370 miles across Minas Gerais, destroying communities, poisoning rivers, and displacing thousands. Goodhead's team accused BHP of offering victims as little as $200 each - 'insulting offers,' he said at the time - and his legal fight helped force greater scrutiny of corporate accountability in Brazil. A judgment is expected before Christmas. Educated at Oxford and Cambridge, and raised in south Wales, Goodhead once seemed destined for political as well as legal stardom. At 24, he announced plans to stand for the Welsh Assembly for the Conservatives - despite claiming to be a descendant of Labour legend Aneurin Bevan, founder of the NHS. Bevan's family denied knowledge of the connection, though Goodhead insisted it existed through his mother's side. His early career was modest - handling supermarket slip-and-trip claims - before he co-founded Pogust Goodhead with the aim of challenging corporate wrongdoing on a global scale. The firm notched victories against Volkswagen, Uber and British Airways, and grew rapidly with backing from major US funders such as Gramercy and NorthWall Capital. When Goodhead secured a record £450 million investment from Gramercy in 2023, he hailed it as fuel to 'take on corporate giants across the world.' But the mood inside the firm was shifting. Staff complained of a toxic workplace and blurred lines between professional and personal spending. 'It was an absolute s***show from day one. I was aghast every day I was in there,' one former employee said. 'If you look at Succession [the television series] and you think like that’s a toxic culture, that’s nothing compared to what was in Pogust Goodhead.' Daily Mail has approached Thomas Goodhead and Pogust Goodhead for comment.
