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24Sep92 UK: LIONHOPE HOPES TO OVERTURN GOVERNMENT DECISION ON KENT MIXED SCHEME.

Developer Lionhope is preparing to take High Court action in a challenge to the Government's decision to kill plans for a £500 million mixed development in Kent.After keeping Lionhope in suspense for 19 months, last July Environment Secretary Michael Howard crushed plans for the Swale development on the Isle of Sheppey on the grounds of 'highway and nature considerations.'Lionhope is an administrative receivership, but through receiver Touche Ross, the developer is hoping to overturn the decision saying it was 'fundamentally flawed in law'. Touche Ross partner Tony Houghton said the decision should be quashed.The development had won the backing of council chiefs and local MPs. Many believe that a second crossing of the river Swale is essential before development can take place. Swale council is now pinning its hopes on public sector options for the crossing.