Duchess of York and Bankruptcy

Bankrupt peers have been discussed on this blog before and a recent press release highlights the source of the information on bankrupt peers. The cases of the following have been examined in some depth:
The BBC and the Telegraph are reporting that Sarah, Duchess of York (pictured) may join their bankrupt ranks. She would be the first Royal to be adjudicated bankrupt if she goes through the procedure, but not the first aristocrat, as the above blog entries outline.  It is reported that a spokesman for the Duchess said: 

"She is doing everything she can to avoid bankruptcy."

"The figures in the press have been exaggerated. The situation is being managed. The only debts she has are business debts, some of which are disputed. All her personal debts have been paid.

"There is a number of options open to the Duchess of which bankruptcy is one.

"But it would be premature to say she is going into bankruptcy as the situation is being managed."

One commentator is suggesting that the Duchess might instead go for an IVA. The article is of particular note as it highlights the strengths and weaknesses of both procedures.

Picture Credit: http://www.nowmagazine.co.uk/imageBank/cache/s/Sarah-Ferguson.jpg_e_f3a7c2adba52315d6ab61b83a2cd478e.jpg