Stephenson Harwood has ceased acting for former Leeds United managing director David Haigh in Dubai after a local court rejected an application for some of Haigh's funds to be released to pay his legal fees.

The firm is owed in excess of £1m in fees for representing Haigh, who is currently imprisoned in Dubai after being accused by Leeds United's former owner, Gulf Finance House (GFH) Capital – where Haigh was previously general counsel – of fraud during GFH's ownership and sale of the club last year.

Stephenson Harwood attempted to have a freezing order on Haigh's assets lifted at a hearing on Tuesday (12 May) in the Dubai International Financial Centre courts so that some of the fees and expenses the firm had incurred to date could be paid, but it was unsuccessful.

Stephenson Harwood commercial litigation partner Rovine Chandrasekera, who led the team representing Haigh, said: "We wished to continue to represent and support David, as we have done for the past year, but unfortunately the court's decision means we will now come off the record."

The firm is understood to have been acting for Haigh on a billable hours basis since access to the ex-Leeds United managing director, who has been in prison in Dubai since May last year, has been limited.

Stephenson Harwood will, however, continue to act for Haigh in a private prosecution in the UK courts that he has brought against former Gibson Dunn & Crutcher partner Peter Gray. The firm is still being supported by lawyers from Olswang on this case.

Gray, who acted for GFH in its Dubai claim against Haigh, is being accused by Haigh of engaging in fraud and conspiracy.

Gray left Gibson Dunn at the start of this month after being found to have deliberately misled the High Court in the UK in an unrelated case.

In March a High Court judge ruled that Gray knowingly submitted incorrectly dated evidence in a case between the Republic of Djibouti and one of its wealthiest citizens, Abdourahman Boreh.

His application to appeal that judgment is still awaiting a decision.