The solicitor-turned-pornstar who masterminded Rangers’ controversial tax avoidance scheme is facing bankruptcy.
Paul Baxendale-Walker’s case called in a London court on Monday as creditors applied for an order to be made against him.
The application against the notorious playboy, who advised the Ibrox side on the use of Employee Benefit Trusts (EBTs), is the latest in a long line of litigation he has faced in recent years.
The Herald understands there has been no final decision in the case, which will continue next month.
READ MORE: Rangers ultras plan silent protest over Ibrox "mismanagement"
Speaking after the hearing, Mr Baxendale-Walker denied that the case was for bankruptcy, despite official court listings and a court clerk confirming the nature of the proceedings.
He added that he could not reveal any details of the case, which called at the Insolvency and Companies Court, as it was still ongoing.
The outlandish 54-year-old’s colourful history includes being struck off the roll of solicitors by a disciplinary tribunal in 2007, before going on to become a self-proclaimed “porn baron” - producing, directing and even starring in his own pornographic films.
He also bought over notorious lads’ magazine Loaded in 2012, telling the press that he “lived the Loaded lifestyle - girls, cars, money, helicopters and fun, fun, fun”.
The publication later collapsed in 2015.
According to information on Companies House, many of the businessman’s companies are now dissolved or in liquidation.
READ MORE: Rangers ultras plan silent protest over Ibrox "mismanagement"
Earlier this year he also lost a court dispute over a loan on a £7m property.
He tried to claim that the contract terms of the loan were unfair but the judge ruled against him - forcing him to repay an outstanding mortgage in excess of £6m.
During the hearing, Mr Baxendale-Walker told the court that he was suffering from a “severe and degenerative neurological condition”, which he claimed was “affecting his mental capacity, including his powers of recollection”.
In 2016, he was also convicted of forgery after impersonating an official from HM Revenue and Customs in a failed attempt to get information from the Solicitors Regulation Authority (SRA) that would help to overturn his ban on practising as a solicitor.
He was ordered to pay more than £225,000 in fines and legal costs.
Further litigation also revealed the true extent of his bizarre lifestyle, when he was taken to court by his ex-partner - a woman who he described as one of his “hunny bunnies”, a group of women who received lavish gifts from him in return for sex.
READ MORE: Rangers ultras plan silent protest over Ibrox "mismanagement"
However, it was as his role as a tax adviser that brought him infamy in Scotland when he was revealed as the man who introduced former Rangers owner Sir David Murray to EBTs - the scheme which contributed to the Ibrox side’s eventual collapse in 2015.
Once known as Mr EBT, his idea led to more than £47 million being paid to Rangers players, managers and directors between 2001 and 2010 in tax-free loans.
This resulted in HMRC’s so-called Big Tax Case against the club.
Two tribunals in 2012 and 2014 initially supported the Rangers argument that the EBT payments were loans and therefore not taxable, but the Court of Session found in favour of HMRC after an appeal in 2015.
READ MORE: Rangers ultras plan silent protest over Ibrox "mismanagement"
EBTs were also the subject of another court case against Mr Baxendale-Walker last year.
The Court of Appeal found that his long-defunct legal firm should have warned another client of the risk of EBTs and the possibility that the scheme would not withstand a challenge from HMRC.
Mr Baxendale-Walker’s lawyer did not respond to the Herald’s request for comment.
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