Advice on how to deal with the OR during interview - please help

Discussion in 'Insolvency' started by Spencer123456, Feb 7, 2020.

  1. Spencer123456

    Spencer123456 UKBF Newcomer Free Member

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    Hi - I am a director of a limited company. I was the only employee/director. I worked as a contractor for a manufacturing firm. Then work dried up and contract was finished 5 years ago meaning trading stopped. Ever since the company did not trade at all, i.e. no moneys came in/went out of the company. Up until that point I was using an accountant. Then I stopped paying the accountants fee as company not trading. Nil year-end accounts were filed ever since company stopped trading. The company has no realisable assets. I have now been contacted by the Insolvency Service explaining that I need to attend interview with the OR. I did not know that a winding up order had been served and a court hearing had been held. I spoke over the phone with the OR and he indicated that the company owes HMRC over £25K which I believe is wrong and I do not recognise. Since I did not attend the court hearing I could not challenge this. Please I need advice on how to best prepare for the interview. I worry about the outcome and whether it will affect me personally
     
    Posted: Feb 7, 2020 By: Spencer123456 Member since: Feb 7, 2020
    #1
  2. Lisa Thomas

    Lisa Thomas UKBF Enthusiast Free Member

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    You just need to complete their questionnaire and answer their queries honestly.

    The £25k debt may be estimated (and might include penalties and interest) if no returns have been submitted to HMRC for 5 years so this might be why there is a discrepancy.

    To answer your question about how it might affect you, the Liquidator will investigate the reasons for insolvency and your conduct.

    They can pursue you for recovery if you have committed misconduct and will submit a report on your conduct to the Insolvecy Services.

    The Insolvency Services have the power to also sue, disqualify, fine and imprison Directors for misconduct.

    If there have been no transactions in 5 years and there are no assets then there shouldn't be an issue.
     
    Posted: Feb 7, 2020 By: Lisa Thomas Member since: Apr 20, 2015
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  3. Root 66 Woodshop

    Root 66 Woodshop UKBF Big Shot Free Member

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    Sounds more like it's one of the HMRC scam phone calls TBH... Personally, I'd be contacting HMRC directly myself... check out the companies house register see what it says on there... if it's being wound up... it will say it is on there...

    I'd be cautious of whom you speak to before you go any futher TBH... if you've received nothing in the mail... it's all codswallop... If however you've held back on information on the forum here... then... well... say no more. :)
     
    Posted: Feb 7, 2020 By: Root 66 Woodshop Member since: Nov 22, 2011
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  4. Lisa Thomas

    Lisa Thomas UKBF Enthusiast Free Member

    3,515 445
    It's not HMRC that OP has been taking to, its the Official Receiver...

    Sounds very real to me.

    OP can check Co. status here if they are in any doubt:

    https://beta.companieshouse.gov.uk/
     
    Posted: Feb 7, 2020 By: Lisa Thomas Member since: Apr 20, 2015
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  5. Root 66 Woodshop

    Root 66 Woodshop UKBF Big Shot Free Member

    5,057 1,357
    I
    know that, however surely he, being the company director would be aware prior to any phone call that his company is in recievership... especially after 5 years of non-trading... keeping records straight etc... surely an OR doesn't just call you out of the blue, he'll have received relevant information via letters from the OR regarding the insolvency... surely he would be aware of a court order too... hence why it sounds a bit suspicious.
     
    Posted: Feb 7, 2020 By: Root 66 Woodshop Member since: Nov 22, 2011
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  6. Spencer123456

    Spencer123456 UKBF Newcomer Free Member

    2 0
    Thanks Lisa for your kind reply and helpful advice.

    In response to Root, I shall just say that I did receive proper notification, in the post, from the Insolvency Service representative, which also included a Questionnaire to be completed prior to the interview.
    I was not notified of the court hearing regarding the winding up of the limited company and compulsory liquidation though. It may be that they sent this notification to my accountants address as this remains as the registered address of the company. As it stands, proof of reception of the winding up order has not been confirmed by the accountants yet. I will challenge this as well as how the proof of debts was calculated. In my view, the figure is completely erroneous. I need some guidance on how best approach the OR as I am not familiar.
     
    Posted: Feb 7, 2020 By: Spencer123456 Member since: Feb 7, 2020
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  7. Mr D

    Mr D UKBF Legend Free Member

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    Yes official company documents go to the registered company address. L
     
    Posted: Feb 7, 2020 By: Mr D Member since: Feb 12, 2017
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  8. UK Contractor Accountant

    UK Contractor Accountant UKBF Big Shot Full Member - Verified Business

    4,974 864
    Did you not receive reminders to complete and file Corporation Tax Returns? These would have gone to the trading address of the company not the Registered Office.

    If they went to the Accountants office why have not been forwarded on to you?
     
    Posted: Feb 8, 2020 By: UK Contractor Accountant Member since: Sep 18, 2013
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  9. Spongebob

    Spongebob UKBF Ace Free Member

    2,211 1,118
    Simply assemble as much paperwork as you can relevant to the company and take it with you to the interview. If the company has not traded for five years you almost certainly have nothing to worry about. The figure that HMRC is chasing will be made up of estimates and penalties - none of which you are personally liable for.

    Fill in the questionnaire honestly and fully. This will form the basis of the interview. Treat the person conducting the interview with courtesy and respect - this goes a long way. They may be a 20 year-old low level functionary in the Insolvency Service but they have the power either to sign off your case without further action or to recommend a full investigation. I know which I'd rather have!

    I wouldn't even bother contesting HMRC's figures. Simply explain that they are made up of estimates and penalties. It will be a very familiar story. Remember - your case is very important to you but it is of minimal significance to the person on the other side of the desk. They do this every day so make things easy for them to clear your case off their desk before they go home that evening.
     
    Posted: Feb 16, 2020 By: Spongebob Member since: Dec 9, 2008
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