Unsuccessful litigants in a high-profile case involving a failed luxury homes development have had their latest bid to challenge a retrial ruling rejected.

Earlier this year, three Isle of Man-based directors were cleared of fraudulent misrepresentation after the appeal court overturned a High Court judgment, concluding that the trial Deemster had erred in law.

The claimants sought a retrial, but the appeal court ruled this was not in the interests of justice.

They then sought permission to appeal the retrial and costs decisions, but this, too, has been rejected on the grounds that the applications raised no ‘arguable point of law of general public importance’.

The case concerns the £200m-plus redevelopment of Grade I-listed Cornwall Terrace, overlooking London’s Regent’s Park.

The Isle of Man-based Oakmayne Group was behind the scheme, dating back to 2007, to convert the building into luxury residential properties for sale to high-net-worth individuals.

But rather than making a profit, the project suffered increased building costs and construction delays, resulting in a £43m loss.

Claimants Matthew Wickers, Dennis Lavin and John Tinsley had been persuaded to invest £1.2m, £1.25m and £1m respectively.

All three lost their investments when the project failed.

Following a six-week trial, Deemster Alan Gough delivered judgment last year, concluding that the three claimants had been duped into investing.

Deemster Gough found the investment opportunity brochure was a ‘fraudulent document’ which misstated facts and deliberately omitted or disguised matters, including a £3.7m ‘success fee’.

Defendants David Humbles, Michael Riddell and Guy Wiltcher, all directors of Oakmayne Properties (Regeneration) Ltd, now in liquidation, were subsequently ordered to repay the claimants’ investments plus £4.35m in other costs.

However, the defendants were exonerated when the appeal court ordered Deemster Gough’s judgment to be set aside.

It concluded: ‘There is a demonstrable failure by the Deemster to consider relevant evidence which was sufficiently serious to undermine his finding.’

The three investors subsequently sought a retrial.

Judge of Appeal Anthony Cross KC, sitting with Acting Deemster Sir Nigel Teare KC and Acting Deemster Rosen KC, concluded that this was not in the interests of justice, saying litigants were not normally entitled to ‘two bites of the cherry’.

The appeal court ordered the investors to pay the directors £2m in costs relating to the appeal and original trial.

The three investors subsequently sought permission to appeal both judgments.

However, the Judge of Appeal and two Acting Deemsters have now refused permission for both.

They concluded: ‘In relation to the retrial judgment, the applicants have not identified any arguable error of law, still less one of general public importance.

‘The application consists largely of repeated assertions that this court reached the wrong conclusion,

‘In relation to the costs judgment, the position is no stronger. The grounds advanced amount to no more than a challenge to the manner in which this court exercised its discretion as to costs. No arguable point of law, and no issue of general public importance, is identified.’