We believe that insolvency is a process that does not arise by accident. Wherever possible we will look to attempt to rescue matters and if at all possible avoid formal insolvency. There will of course be circumstances due to exterrnal factors beyond the control of the individuals or companies concerned, such as changes in legislation and regulation that can adversely affect finances thus causing an insolvency. However, notwithstanding that position there are many instances in which creditors can rightly feel aggrieved when suffering at the hands of rogue directors who may have defrauded them. We do not believe that liquidation or insolvency should be the end of the recovery process but a new beginning brought about by an independent investigation into the financial affairs and dealings that led to a company's or individual's demise.
We believe that creditors may often feel let down by their experiences when an insolvency arises and feel strongly that this does not need to happen. It is the obligation of a Liquidator (or Administrator) to investigate: “…to do everything within his power to realise assets for the creditors, for instance by taking misfeasance proceedings, wrongful/fraudulent trading proceedings and investigating transactions which can be attacked as preferences, transactions at an undervalue and floating charges which may be avoided.” Bailey and Groves “Corporate Insolvency” (Third Edition)
We have extensive expertise in investigating antecedent transactions to maximise realisations for creditors.
This is invariably a creditor-driven process, which follows a bankruptcy order made by the court, usually on the petition of a creditor
This is invariably a creditor-driven process, which follows a bankruptcy order made by the court, usually on the petition of a creditor. It is a creditor's action of last resort in attempting to collect an outstanding debt. A debtor may also present a petition for his or her own bankruptcy.
A flexible process which is essentially a contract between an individual and their creditors to "park" debt in such a manner that allows an eventual greater return to creditors, albeit often over time, than they could expect in a bankruptcy.
A proposal is prepared within a statutory framework that needs to be approved by the individual and their creditors as must any proposed modifications to the original proposal.
Parts of a company's business may be unprofitable but insolvency may be avoided.
Parts of a company's business may be unprofitable but insolvency may be avoided by shedding such parts. We can provide a comprehensive business review, which will highlight such issues and make detailed recommendations for the way forward. In this respect we will work with the company's management, financiers and other stakeholders and, where possible, formulate a solution to return the company to profitability.
A company may be placed into administration out of court by:
and by order of the court upon the petition of:
The statutory purposes for the appointment of an administrator must correspond to a hierarchy of three objectives:
The holder of a floating charge over a company's assets created prior to 15 September 2003 may appoint an administrative receiver should the company default under the terms of the debenture.
Administrative receivership is likely to be utilised to trade on a company to facilitate a going concern sale of its business and assets.
A flexible process which is essentially a contract between a company and its creditors to "park" debt in such a manner that allows an eventual greater return to creditors, albeit often over time, than they could expect in a liquidation.
A proposal is prepared within a statutory framework that needs to be approved by the company and its creditors as must any proposed modifications to the original proposal.
Directors of "small" companies are entitled to obtain a short moratorium in order that they may propose a company voluntary arrangement ("CVA").
To take advantage of the moratorium procedure a company must satisfy specified criteria.
This is appropriate when a company is insolvent and has no prospect of continuing to trade profitably in the future. A company can be placed into liquidation and, if appropriate, at extremely short notice with the agreement of 95% of its shareholders.
This is invariably a creditor-driven process, which follows a winding-up order made by the court, usually on the petition of a creditor. It is a creditor's action of last resort in attempting to collect an outstanding debt.
Unlike administrative receivership, this appointment is made by a mortgagor who does not hold a floating charge over the company's assets. The receiver is appointed to realise a specific asset for the benefit of the charge holder.
A Members' Voluntary Liquidation ("MVL") is a solvent liquidation of a company whereby the assets are realised and, having settled any outstanding creditors, the remaining balance is distributed to the shareholders in a tax efficient manner.
We work with your accountants and tax advisors in order to achieve the best outcome for your given situation.
Who would be interested in an MVL?
At OC Insolvency we have a dedicated team of insolvency investigators trained to identify, discover and recover the assets.
The investigations we undertake will look to identity what records are available and then look to reconstruct the rest necessary identify what assets should exist. Once these assets have been identified then we would commence the process of tracing the assets to either recover them or pursue compensation claims against those who may have inflicted a fraud such as:
We can act as expert witness in fraud and litigation matters.
|SIP9 Payments To Insolvency Office Holders and Their Associates From an Estate||Download|
|Voluntary Arrangement: A Guide for Creditors on Insolvency Practitioner Fees||Download|
|SIP3 Company Voluntary Arrangements||Download|
|SIP7 Presentation of Financial Information in Insolvency Proceedings||Download|
|Liquidation: A Guide for Creditors on Insolvency Practitioner Fees||Download|
|Administration: A Guide for Creditors on Insolvency Practitioner Fees||Download|
|Disbursement Recovery Policy||Download|
|SIP 2 - Liquidator's Investigations||Download|
|SIP 16 – pre-packaged sales in administrations||Download|
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