Liquidation
Informal Corporate Insolvency Debt Costs Creditors £5bn Every Year
An investigation into millions of collapsed British companies has found that every year, around £5bn of unpaid ‘hidden debt’ is left behind by businesses that close down without going through any formal insolvency procedure.
Read MoreDodgy Football Fat Cats like Peter Ridsdale Must Be Punished
Last month, the Insolvency Service banned football club chairman Peter Ridsdale (pictured) from holding company directorships for seven-and-a-half years. Under Ridsdale’s chairmanship, Cardiff City football club accrued debts exceeding £42m between 2006 and 2010. During the same period, Ridsdale secretly and unlawfully transferred more than £345,000 from Cardiff City into his personal bank account, and…
Read MoreWhy Didn’t Insolvency Service Prosecute MG Rover’s Phoenix Four?
The former directors of MG Rover Group (MGRG), who pocketed over £40 million as the company spiralled into administration, should have been punished with lengthy disqualifications forcing them into early retirement and out of business management. Instead, Peter Beale, John Towers, Nick Stephenson and John Edwards – known as the ‘Phoenix Four’ – received bans…
Read MoreHow to Protect Customer Deposits Without New Legislation
Britain must have new legislation to ensure cash from deposits and voucher sales is returned to customers when a retailer goes into administration, according to the Institute of Chartered Accountants of Scotland (ICAS). The call follows the recent insolvencies of retailers such as music chain Zavvi and furniture supplier MFI where customers lost cash paid…
Read MoreInsolvency Practitioners’ Campaign against Energy Firms and Suppliers is Pointless
Britain’s leading professional association for insolvency and business recovery specialists has launched an astonishing attack on suppliers who raise prices or stop serving companies that have fallen into insolvent administration. According to R3, debt-chasing suppliers such as utility companies are responsible for 14% of liquidations and the rapid increase in pre-pack administrations, in which a…
Read MoreSports Celebrities Snookered by Management Firm Liquidation
The liquidation of a management firm whose clients included sports stars such Ronnie O’Sullivan, Stephen Hendry and Olympic gold-winning cyclist Sir Chris Hoy is likely to set a lengthy court battle in motion. According to the Daily Mail, several of 110 Sport Management (110SM)‘s former clients are preparing to launch compensation claims for outstanding payments against…
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