Harrods' Closure of Sexual Abuse Compensation Scheme Sparks Outrage

Harrods has faced criticism over its decision to close a compensation scheme for survivors of alleged sexual abuse by the luxury department store's former owner Mohamed Al Fayed. The scheme was set up in March last year and was due to close on March 31 this year.

Kingsley Hayes, partner at KP Law, which is representing nearly 280 survivors, questioned why the scheme was being closed before Harrods had completed an internal investigation into what happened and who knew about it. Hayes stated that the decision appears to be driven by financial considerations rather than what is fair and appropriate for survivors.

The scheme provided an alternative resolution for survivors who did not wish to pursue litigation, offering general damages of up to £200,000 and a work impact payment of up to £150,000 as well as payments for 'wrongful testing' and treatment costs. Harrods said more than 220 people had now engaged with the redress scheme, which it said had been designed in consultation with specialist barristers, survivors and their legal representatives.

Harrods' decision to close the scheme has been criticized as 'neither fair nor just', with Hayes calling on Harrods to 'do the honourable thing' and delay the closure of the redress scheme and commit to publishing the findings of its long overdue internal investigation into what happened and who knew. Survivors are being asked to make life-altering decisions without access to the full picture.

The Metropolitan police said last year that 111 women had made allegations against Fayed; the youngest is thought to have been 13 at the time. Harrods 'apologises unreservedly' for the sexual abuse survivors suffered and 'wants everyone who is eligible to receive this compensation'. A spokesperson for Harrods said the company 'recognises the remarkable bravery of survivors who come forward and continue to shed further light on this dark chapter to our history'.