Mohamed al-Fayed, Princess Diana and the royal family: Disgraced billionaire’s conspiracy theory obsession

Mohamed al-Fayed was famous in the UK for Harrods, Fulham FC and his multi-billion-pound business empire – but also for his long and complicated relationship with the British royal family.

The businessman died last year aged 94 but dozens of women have now come forward to report rapes and sexual assaults at the Knightsbridge store.

Over nearly 40 years the businessman was rarely far from the headlines but he spent a decade promoting conspiracy theories following the death of his son Dodi and Diana, Princess of Wales in 1997.

He believed the pair were murdered, a claim ultimately debunked by a long investigation by the Metropolitan Police, which put the tragic car crash down to “gross negligence” on the part of the driver and paparazzi.

Fayed purchased Harrods in 1984 for £615 million as part of his takeover of the House of Fraser Group. At the time, he was regarded as a charming businessman and known for being authoritative.

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At a 1986 polo match sponsored by Harrods, Fayed was introduced to members of the royal family – notably Princess Diana.

This match was the first time the princess met his son, Dodi, who was part of a team that competed against her then-husband, the now King Charles.

Fayed also sponsored the Royal Windsor Horse Show, one of the late Queen Elizabeth II’s favourite events, in an apparent bid to get closer to the monarchy.

Diana and Dodi met again in 1992 at the Hook premiere in London. Inspired by Peter Pan, the film, starring Robin Williams, was produced by Dodi.

Jim Hart, a screenwriter, told Vanity Fair: “He had admired and revered her from afar.”

As Fayed’s interest in the monarchy grew, Vanity Fair published an exposé accusing the businessman of racism, unlawful surveillance of his staff and sexual abuse.

A libel lawsuit was later dropped by Fayed on the condition that the evidence of his sexual misconduct was destroyed.

Touching upon the allegations in his 1998 biography of the businessman, Fayed, royal author Tom Bower claimed that “there is no suggestion that any member of the Royal family knew of any allegations of sexual assault or harassment at the time”.

Following the princess’s divorce from Prince Charles in 1996, she was invited to St Tropez with her sons by Fayed, who bought a luxury yacht for the occasion in his latest apparent attempt to integrate himself with the monarchy.

This is when Diana is said to have struck up a relationship with Dodi. As portrayed in The Crown, it has been suggested that Fayed helped orchestrate the romance.

A royal source told People magazine at the time: “Diana is besotted.”

She later returned to spend more time with Dodi on the boat when Harry and William went to Scotland with other members of the royal family.

News of Princess Diana’s new romance became public in August of 1997, when pictures of her and Dodi kissing were published.

“They have found physical and spiritual fulfilment in each other,” The Sunday Mirror reported.

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Tragedy struck in Paris in the early hours of 31 August 1997. The pair were then chased by paparazzi as they tried to make their way to Dodi’s apartment in the city.

Dodi, 42, and the driver, Henri Paul, were killed instantly in the high-speed crash. The princess, 36, later passed away in hospital.

A spokesperson for Fayed revealed they had exchanged gifts before they died.

This included a $205,000 diamond ring, which Dodi had picked up from a Parisian jeweller on the day of the crash.

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By February of 1998, Fayed was asserting his belief that the Paris car crash was the result of deliberate criminal actions. He also claimed that the princess was engaged to be married to his son.

Fayed said the crash was orchestrated by Prince Philip and MI5 because they did not want a member of the royal family to be intimately involved with an Egyptian Muslim.

Fayed told the Daily Express that Princess Diana was pregnant at the time of her death, adding that the medics who testified that she was not as part of the inquest into the crash were lying.

A formal investigation began into the conspiracy theories by the Metropolitan Police. The investigation was primarily based on the claims made by Fayed.

The inquest came to a close in April 2008, when it was declared that the car crash was a result of “gross negligence” on the part of the driver and paparazzi.

It added that “the impairment of the judgement of the driver of the Mercedes Henri Paul through alcohol” contributed to the tragedy as well as the fact that “the deceased was not wearing a seatbelt“.

Reacting to the verdict, Fayed told News at Ten: “I’ve had enough.” He finally abandoned his conspiracy theories.

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While Fayed’s complicated relationship with the monarchy came to an end in 2008, the claims of sexual harassment against him did not.

He was accused by ITV’s The Big Story in 1997 of harassment and groping, and Channel 4’s Dispatches accused Fayed of similar in 2017, with a victim waiving her right to anonymity for the first time.

It is believed that this inspired further victims to come forward for an additional investigation in 2018 by Channel 4 News.

Fayed died in September 2023 at the age of 94 from old age, having exiled himself to Switzerland in 2003 after failing to obtain British citizenship. He was never convicted of abuse in his lifetime.

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The businessman was accused of rape and attempted rape in the BBC documentary, Al Fayed: Predator at Harrods.

It claimed was a coverup culture at Harrods, where Fayed’s behaviour was well-known among female staff in particular.

One of his accusers, known as Natacha, said the meetings she had with her former employer often “turned into more of a forced kiss, his hands gripping your face to his lips or pulling you down on his lap.”

Harrods said in a statement: “We are utterly appalled by the allegations of abuse perpetrated by Mohamed Al Fayed. The Harrods of today is a very different organisation to the one owned and controlled by Fayed between 1985 and 2010, it is one that seeks to put the welfare of our employees at the heart of everything we do.”

Metropolitan Police commander Kevin Southworth said that while authorities were aware of the allegations against Fayed, no charges have resulted from its investigations.

The Independent has reached out to Buckingham Palace for comment.

Rape Crisis offers support for those affected by rape and sexual abuse. You can call them on 0808 802 9999 in England and Wales, 0808 801 0302 in Scotland, and 0800 0246 991 in Northern Ireland, or visit their website at www.rapecrisis.org.uk. If you are in the US, you can call Rainn on 800-656-HOPE (4673).