Wednesday, 26 August 2009
Tuesday, 25 August 2009
Monday, 24 August 2009
Saturday, 22 August 2009
"Burly in person and bluff in manner, he had a businesslike approach which shortened his cases. He seized points very rapidly, and frequently cut short argument with sharp questions of counsel, such as: ‘That won't do, you know. Have you anything else?’ or ‘What do you say to that?’ He was as competent in criminal as in civil cases."
"1. The Registrars in Bankruptcy of the High Court to hear and determine the following matters and applications which by the Rules are directed to be heard and determined in open court:(a) The public examination of debtors;(b) Applications to approve a composition of scheme of arrangement;(c) Applications for orders of discharge or certificates of removal of disqualifications."
Friday, 21 August 2009
Some powerful enemies among the establishment had clearly been made, among people implicated by Poulson’s evidence, and their political colleagues and friends, and in particular within the Cabinet itself, as a result of the fall of Reginald Maudling. But does this account for what followed next?
The Attorney-General reported Hunter, the leading bankruptcy Queen’s Counsel of the day, to the Bar Council for professional misconduct. The obvious consequence of this move would be to curtail the public examination, at least by Hunter. Hunter was represented at the hearing by Sir Derek Walker-Smith QC, subsequently Lord Broxbourne QC (13 April 1910 – 22 January 1992) the senior Conservative Party politician (and barrister!). The Lord Broxbourne was, like Hunter, a graduate of Christ Church, Oxford. The complaint to the Bar Council was dismissed within short order. This episode did not however prevent Hunter from becoming soon afterwards a Bencher at Gray's Inn.
"A company becomes insolvent if it fails to satisfy one of the two tests set out in section 123 IA 1986, namely that it is unable to pay its debts after service of statutory demand or alternatively it is proved to the satisfaction of the Court that the value of the company's assets is less than the amount of its liabilities taking into account its contingent and prospective liabilities ("balance sheet insolvency"). Following the onset of insolvency a company is then wound up either voluntarily or compulsorily. For the company to be wound up voluntarily generally it requires a special resolution by the company. If that happens the voluntary winding up is to commence on the date of that resolution. In the case of a compulsory winding up by order of the Court the winding up relates back to the date of the presentation of the petition unless a voluntary resolution has been passed in which case the winding up relates back to the passing of that resolution (section 129 IA 1986). In the case of an administration the company must be insolvent before it can go into administration and the administration takes effect either when the order of the Court is made or (more usually) when the conditions of the Notice of appointment are satisfied."
Thursday, 20 August 2009
Wednesday, 19 August 2009
Bankruptcy Tourism revisited - 'Bankruptcy tourists' exploit UK's lenient insolvency laws says Accountancy Age
"Foreign nationals are travelling to the UK as ‘insolvency tourists’ seeking to become bankrupt under English law because procedures in Britain last 12 months instead of up to nine years on the continent.
Experts have seen a surge in enquiries from Germany and France relating to individuals wanting to use UK bankruptcy procedure.
In Germany, companies have even been launched to assist people coming to the UK.
Insolvenz Agentur advertises on its website with the phrase: ‘Get rid of the rest of your debts in England after just 12 months.’
It goes on to say: ‘We are supporting your way out of the debt trap,’ and: ‘After you have got rid of your debts you can decide if you then want to stay.’
Insolvenz assistance relates to helping German nationals demonstrate they have been resident and paid taxes in the UK for at least six months so they can take advantage of the much more lenient bankruptcy conditions.
Marcus Kray, a UK-based consultant at the German assisted bankruptcy business, said: ‘I think it is right what we are doing.’
‘It is much easier and gives people a second chance at life and the ability to get a better job.’
Mark Sands, national head of bankruptcy at Tenon, said: ‘I don’t think the system was designed to allow Germans to come here and bankrupt themselves.’Neil Smyth, a partner at European law firm Taylor Wessing, said: ‘If you are a permanent resident or work here then fine. But, if you fly in and stay in a place for a few weeks just to get a bankruptcy and have no intention of being a permanentresident, then that is an abuse of the system.’
The Insolvency Service is monitoring bankruptcy applications from abroad but said it would not be taking any special action.
A spokesman said the service had so far recorded 59 applications where their legitimacy was not clear because of where the bulk of assets were held. Two thirds of those applications were rejected. ‘If figures are as miniscule as they are, it won’t touch the radar,’ the spokesman added.
Kray said up to 85% of Germans decided to stay in the UK post discharge and the average age of his clients is between 43 and 45 years old.
He said his client base had doubled over the last year to more than 100 doctors, dentists and other professions seeking a much shorter bankruptcy process.
Debts among his clients range from €80,000 (£68,000) to €4m.Under current English laws, a foreign national generally has to prove their centre of interest (COI) is in the UK for at least three months to succeed in bankruptcyproceedings.
This means they need to have paid taxes, lived or worked in the UK, as well as have a bank account and doctor.
For the German government to recognise the bankruptcy, a person needs to show six months proof of COI."
Picture Credit: http://www.accountancyage.com/accountancyage/news/2248123/bankruptcy-tourists-exploit-uk
Tuesday, 18 August 2009
JGLP: "I used to think so. I think now, when I see these figures, 'stupid' would describe it."
MH: "Yes, stupidly generous. So the situation was this, was it not, that you were prepared to lash out large permanent regular sums to your old chums?"
JGLP: "I didn't know they were old chums: some of them I had never even met"
A number of interesting judgments have been selected for inclusion in the latest edition of the BPIRs by the editors (Paul French, Jonathan Middleton and Professor David Milman), a number of which have been mentioned on this blog previously. The cases reported in the latest edition of Jordan's BPIR, include:" BPIR 737
Bateman and Another v Hyde and Others  EWHC 81 (Ch)ChD, His Honour Judge Pelling QC sitting as a High Court judge, 6 February 2009- BANKRUPTCY - Post-petition disposition - Transfer and re-mortgage - Extent to which disposition by the bankrupt - Extent to which disposition void - Insolvency Act 1986, ss 284(1), (6)- BANKRUPTCY - Post-petition disposition - Transfer and re-mortgage - Applicability of overreaching - Extent to which mortgagee entitled to subrogation - Law of Property Act 1925, s 27, Land Registration Act 2008, s 86 BPIR 748Bateman v Williams and AnotherWrexham CC, His Honour Judge Jarman QC, 26 November 2008- BANKRUPTCY - Family home - Sale and possession - Exoneration - Insolvency Act 1986, s 323 BPIR 762The Charit-Email Technology Partnership LLP v Vermillion International Investments Ltd  EWHC 388 (Ch)ChD, Sir Andrew Morritt Chancellor of the High Court, 13 February 2009- WINDING-UP PETITION PROCEDURES - Whether contributory can appear on hearing of petition where no surplus likely- LIMITED LIABILITY PARTNERSHIPS (LLPS) - Whether established practice for determining right to appear on petitions for winding up of companies applied to LLPsContributories - Determination of status BPIR 769C Putnam & Sons v Taylor and Another  EWHC 317 (Ch)ChD, His Honour Judge Purle QC, 29 January 2009- CHARGING ORDER - Family home - Sale and possession - Trusts of Land and Appointment of Trustees Act 1996, ss 14 and 15 - European Convention for the Protection of Human Rights and Fundamental Freedoms 1950 BPIR 778Dennis Rye Ltd v Bolsover District Council  EWCA Civ 372CA, Mummery and Elias LJJ, 6 May 2009- Winding-up petition - Disputed debt - Cross claim - Whether cross claim genuine and serious- WINDING-UP PETITION - Unpaid council tax - Liability order - Extent to which Companies Court will look behind liability order BPIR 785Haghighat (A Bankrupt) (No 2), Re  EWHC 934 (Ch)ChD, George Bompas QC sitting as a deputy judge of the High Court, 28 April 2009- BANKRUPTCY - Family home - Order for possession - Review of possession order - Insolvency Act 1986, s 375 BPIR 810Hunt v Yearwood-Grazette  EWHC 2112 (Ch)ChD, Proudman J, 7 April 2009- TRUSTEE IN BANKRUPTCY - Determination of fees claim - Time costs - Importance of value for money BPIR 820Lewis and Lewis v Metropolitan Property Realisations Ltd  EWCA Civ 448CA, Laws and Thomas LJJ and Mann J, 12 June 2009- BANKRUPTCY - Dwelling house - Realisation of interest in dwelling house by a trustee in bankruptcy - Meaning of 'realises' - Insolvency Act 1986, s 283A BPIR 834Marsh (In Bankruptcy), Re, Casey v WhitworthPortsmouth CC, District Judge Cawood, 22nd August 2008- BANKRUPTCY - Transaction at an undervalue - Valuation of consideration - Money or money's worth - Whether transaction at significant undervalue - Insolvency Act 1986, s 339- BANKRUPTCY - Transaction at an undervalue - Relevant time - Insolvency - Whether individual insolvent at time of or as a result of the transaction - Insolvency Act 1986, s 341 BPIR 854Nolan v Wright  EWHC 305 (Ch)ChD, His Honour Judge Hodge QC sitting as a High Court judge, 26 February 2009- EXTORTIONATE CREDIT BARGAIN - Reopening extortionate credit bargain - Limitation - Limitation Act 1980, ss 8 and 9 BPIR 870Qayyum v Hameed and Another  EWCA Civ 352CA, Pill, Moore-Bick and Etherton LJJ, 27 April 2009- BENEFICIAL INTERESTS IN PROPERTY - Identification and variation of beneficial interests - Constructive trust - Innocent misrepresentation - Rescission BPIR 882R (Mohammed) v The London Borough of Southwark  EWHC 311 (Admin)QBD, Geraldine Andrews QC sitting as a deputy High Court judge, 24 February 2009- BANKRUPTCY - Council tax - Liability to pay as at date of bankruptcy order - Nature of council tax liability - Extent of bankruptcy debt - Ability of council to seek liability order for pre- and post-bankruptcy council tax - Insolvency Act 1986, s 285 BPIR 892Rayden and Another v Edwardo Ltd and Another  EWHC 2689 (Comm)QBD, Gloster J, DBE, 5 November 2008- WINDING UP - Solvent companies - Application of mandatory set-off rule in the Insolvency Rules 1986, r 4.90- SET OFF - Application of Insolvency Rules 1986, r 4.90 to solvent liquidations- GUARANTEES - Primary obligations of guarantor- RESCISSION - Where right to rescission may be lost - Affirmation - Restitutio in integrum BPIR 909Secretary of State for Business, Enterprise and Regulatory Reform v Neufeld and Howe EWCA Civ 280CA, Rix, Toulson and Rimer LJJ, 2 April 2009- REDUNDANCY PAYMENTS AND OTHER EMPLOYEE BENEFITS - Claim by director/ controlling shareholder of insolvent company against National Insurance Fund - Whether claimant an employee - Factors to be taken into account BPIR 945Shaw v Doleman  EWCA Civ 279CA, Mummery, Stanley Burnton and Elias LJJ, 1 April 2009- LEASES - Assignment of lease - Disclaimer of lease by liquidator of assignee of lease - Unpaid rent - Liability of original guarantor of lease- LANDLORD AND TENANT (COVENANTS) ACT 1995 - Impact upon assigning tenants who act as guarantors BPIR 958Sinclair v Glatt and Others  EWCA Civ 176CA, Longmore, Stanley Burnton, and Elias LJJ, 13 March 2009- RECEIVER - Appointment by court - Remuneration, costs and expenses - Meaning of realisable property - Whether receiver to have recourse to assets beneficially owned by others for purposes of meeting receivership remuneration, costs and expenses - Criminal Justice Act 1988, ss 71, 74, 80, 88, 89, 102."