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How to get out of personal guarentee for business with crook director

Discussion in 'Insolvency' started by Izzy daw, Feb 24, 2018.

  1. Mr D

    Mr D UKBF Legend Free Member

    7,428 777

    But does it exist outside your solicitor?
    What is it otherwise known as to other people? Or the courts?
     
    Posted: Feb 25, 2018 By: Mr D Member since: Feb 12, 2017
    #21
  2. Simon Green

    Simon Green UKBF Contributor Free Member

    98 8
    Hi,
    To be completely honest my wife and me spent a lot of hours talking to our solicitor at the time about what she referred to as a Wipping Order but nothing came of it; Ive also been surprised not to get any result myself on google - this Wipping Order was an idea whereby the debt would be shared.
    In our case we lost the lot, and I mean the whole lot including family home and personal bankrupcy got us away from the nightmare.
    Trust me chum, throwing good after bad money in an attempt to get the debt shared is worse than fantasy; its a dark nightmare which brings a lot of persistent problems.
     
    Posted: Feb 25, 2018 By: Simon Green Member since: Dec 4, 2017
    #22
  3. Scalloway

    Scalloway UKBF Legend Free Member

    13,247 2,868
    Posted: Feb 25, 2018 By: Scalloway Member since: Jun 6, 2010
    #23
  4. Simon Green

    Simon Green UKBF Contributor Free Member

    98 8
    Whatever the terminology which Ive obviously got wrong:
    As ever I’m here to try to be non-judgmental as well as helpful to others based on my experience and sharing knowledge and understanding for the good of others hopefully.
    Which is why (Wipping Order or no Wipping Order) I would strongly advise not to throw good money after bad, even if personal bankrupcy becomes the end game which then releases the individual from the appauling predicament described on this forum and which is clearly a result of someone else’s unethical decisions and behaviour.
     
    Posted: Feb 25, 2018 By: Simon Green Member since: Dec 4, 2017
    #24
  5. Mark T Jones

    Mark T Jones UKBF Enthusiast Free Member

    1,797 475
    I don’t th8nk you’re being challenged. Personally I’d be interested to know what this is all about.
     
    Posted: Feb 25, 2018 By: Mark T Jones Member since: Nov 4, 2015
    #25
  6. Izzy daw

    Izzy daw UKBF Newcomer Free Member

    5 0
    Thanks everyone !
    Does anyone know of any good reasonable lawyer?
     
    Posted: Feb 26, 2018 By: Izzy daw Member since: Feb 24, 2018
    #26
  7. Mr D

    Mr D UKBF Legend Free Member

    7,428 777
    The two terms don't go together.
    Sorry, only lawyers I know that are good are ball busters. Divorce lawyers.

    Saying that, Dominic Kay I hear is a firecracker.
    Used to be northeast area?
     
    Last edited: Feb 26, 2018
    Posted: Feb 26, 2018 By: Mr D Member since: Feb 12, 2017
    #27
  8. Lisa Thomas

    Lisa Thomas UKBF Enthusiast Free Member

    1,945 246
    If you DM me I can recommend someone.
     
    Posted: Feb 27, 2018 By: Lisa Thomas Member since: Apr 20, 2015
    #28
  9. Izzy daw

    Izzy daw UKBF Newcomer Free Member

    5 0
    Hi all, Alot has developed since my last post. To summarise, the Crooked director is planning on making the company insolvent, as it is lease hold and all the build work/loan spent on the property, it will terminate the lease making the value of the practice 0. He then is going to make a deal with the landlord to make a new lease, to take over the practice for next to nothing as he knows him.

    By doing this he will write off all the company debt he made, and make all the other shareholders pay for the loans via the personal guarentees while he walks away with the practice. We have been contacted by the other (foolish) shareholders that took his side, one of which stated that the crooked director is planning on doing the above mentioned, he has evidence, the crooked director has planned this from the start and had advice via a solicitor and protected all his assetts for when this happens.

    He and this other director formed a phoenix company registered to the same address of the practice online for when the company goes insolvent. When i mentioned wrongful trading he hastly stated that the company has stopped trading to prevent investigation by company house.

    It seems we have all the potential evidence, but i dont know where to go with it. I am going to report him to the GDC and CQC but whether they will do anything is another matter.

    I have seeked legal advice prior to having evidence of the fraud and seeking further legal advice about the fraud, but will take time and he will try to do the insolvency via defaulting loan payments very shortly.
    any help would be much appreciated
     
    Posted: Mar 26, 2018 By: Izzy daw Member since: Feb 24, 2018
    #29
  10. Mr D

    Mr D UKBF Legend Free Member

    7,428 777
    So get his conduct as a director investigated. Wind the company up.
     
    Posted: Mar 26, 2018 By: Mr D Member since: Feb 12, 2017
    #30
  11. Simon Green

    Simon Green UKBF Contributor Free Member

    98 8
    As before:
    Never Ever throw good money after bad!!!
    Personal Bankrupcy is clearly what’s best;
    Please stop throwing good money after bad!
     
    Posted: Mar 26, 2018 By: Simon Green Member since: Dec 4, 2017
    #31
  12. Lisa Thomas

    Lisa Thomas UKBF Enthusiast Free Member

    1,945 246
    If he is going to place the Company into a formal insolvency procedure, such as Liquidation, the Liquidator will investigate his conduct and has the power to pursue the Directors for any misconduct under the Insolvency Act 1986, which amongst other things includes wrongful trading.

    Alternatively you could place the Company into Compulsory Liquidation through the Court but it will cost you more money that you may not get back.

    I'm not sure what you mean about Companies House doing an investigation?
     
    Posted: Mar 27, 2018 By: Lisa Thomas Member since: Apr 20, 2015
    #32
  13. Simon Green

    Simon Green UKBF Contributor Free Member

    98 8
    I still feel personal bankruptcy is your best route out otherwise things can/will become a living hell as good money is thrown after bad.
    You loose the lot but that includes debts you are facing through failures of business;
    Trust me chum.
     
    Posted: Mar 30, 2018 By: Simon Green Member since: Dec 4, 2017
    #33