TV Property Developer Accused of £2.3 Million Luxury Rental Fraud Scheme
Kam Babaee, a prominent television property developer featured on Channel 4's 'Britain's Most Expensive Houses', is facing a major High Court lawsuit for allegedly pocketing £2.3 million from a wealthy businesswoman in an elaborate luxury home rental scam. The case centres on accusations that Babaee systematically skimmed rental income from a high-end London apartment managed for Bita Daryabari's company, One Unique LLC.
Allegations of Systematic Financial Misappropriation
According to court documents, Babaee is accused of operating what lawyers describe as a 'fraudulent scheme' between 2020 and 2024, during which he allegedly misrepresented the amount of rent collected from four tenants paying up to £1 million annually for the exclusive London property. The lawsuit claims Babaee 'doctored tenancy agreements and other documents' to conceal the true rental income, then diverted the difference to himself and family members.
Some of the allegedly misappropriated funds were reportedly funnelled to Babaee's son, Ali Kian Shokrollah Babaee, and his wife, Ana Totoc. Lawyers for 57-year-old Daryabari assert that the 59-year-old property developer 'misappropriated millions of pounds' through this scheme, though Babaee maintains these were legitimate business expenses and that the sums involved have been exaggerated.
High Court Rejects Attempt to Dismiss Case
Earlier this month, Babaee unsuccessfully attempted to have the case thrown out at London's High Court. Representing himself, he argued that WhatsApp messages between himself and Daryabari should have been protected by legal privilege as part of confidential settlement negotiations. However, Judge Nigel Bird rejected this argument, noting that Daryabari 'was plainly persuaded that Kam Babaee had stolen from her, let her down and had abused her trust.'
The judge further observed that 'it appears very clearly from the correspondence that Ms Daryabari was upset and in no mood to negotiate. She obviously wanted back what had been, in her mind, stolen from her.'
Revealing WhatsApp Messages and Financial Documentation
Court evidence includes furious WhatsApp messages from Daryabari to Babaee, in which she wrote: 'I am deeply disappointed, hurt, and angry at you for your dishonesty and betrayal how could you steal from me over the course of so many years?.....I am utterly disgusted by your behaviour... You ruined yourself big time.'
Financial documentation presented in court includes a spreadsheet allegedly showing the apartment was occupied by four tenants between September 2018 and June 2024, paying rents ranging from £14,500 to £21,000. Summarising the lawsuit, Judge Bird stated: 'The present pleaded case is that the claimant has lost £2,347,234 plus interest. It is said now that he is responsible for fraudulently taking in excess of £2m due to the claimant.'
Background of Financial Troubles and Previous Legal Disputes
This lawsuit adds to Babaee's significant financial and legal challenges. He was previously declared bankrupt in February 2024 after a judge found him 'hopelessly insolvent' with at least £8 million in debt, though that order was annulled in May 2024. His debts included approximately £6 million to a bank from defaulted mortgages, £1.5 million to his ex-wife Roya Namazi, £765,000 to celebrity nail technician Leighton Denny, and around £96,000 to former lawyers.
Babaee's financial troubles extend to multiple court judgments against him. In 2022, he lost a High Court case to Leighton Denny (whose clients include Kate Moss and Adele) over a £1.2 million Chiswick property that suffered water damage, resulting in a £549,773.90 damages award plus £180,000 costs. Additionally, he was found in contempt of court for failing to pay over £100,000 in maintenance to his ex-wife, with divorce judge Mr Justice Cohen noting that 'the wife has always been at the bottom of the list of priorities.'
Ongoing Legal Proceedings and Future Trial
Judge Bird also rejected Babaee's attempts to stay the civil claim due to his current bankruptcy status and pending criminal proceedings from a private prosecution brought by Daryabari. The judge noted Babaee expects to emerge from bankruptcy in May 2026.
One Unique LLC is now suing Babaee, several of his companies, plus his wife and son in an attempt to recoup the allegedly misappropriated funds. The full trial of these claims is scheduled to be heard later this year, marking another chapter in the ongoing legal saga surrounding the television property developer who has been photographed with former prime minister Boris Johnson and once played table tennis with him at his office.
