Fraud in the workplace Fraud is never far from the headlines. A little while ago, Patisserie Valerie collapsed into Administration after it was found to have overstated its cash position by £30m and failed to disclose unauthorised overdrafts of nearly £10m. More recently, the global payments processing firm Wirecard filed for insolvency after admitting that €1.7bn of its assets were
Crown preference background The Finance Act 2020 has restored preferential status in an insolvency as from December 2020 to Crown debts, such as unpaid VAT and PAYE. This reverses a change made way back in 2003 by the Enterprise Act, which was intended to placate banks for losing their ability to take control of struggling borrowers by appointing their own
It may have taken almost twenty years, but the insolvency profession has finally got round to adapting the Administration insolvency process brought in by the 2002 Enterprise Act to reflect changing public attitudes towards the exercise of creditor power in business rescue. There is a certain irony that the sudden interest in so called ‘Light Touch’ Administrations has been prompted
This pandemic is a crisis like no other in the past century and beyond. It is stressing every aspect of a company’s business model. Revenues are being slashed, profitability savaged, supply chains stretched and working capital pulled one way and another – all in a volatile and unpredictable commercial world, where official guidance and realities change almost by the moment.
The Pandemic is threatening to cause a financial crisis to equal of even surpass the horrors of The Great Depression almost a century ago. There are few parts of the UK and global economy that aren’t being affected. Right now, there a very few winners and a huge number of losers. Worst of all is the uncertainty as official guidance
The Corporate Insolvency & Governance Act 2020 (“The Act”) The Act implements insolvency reforms first proposed by the government as far back as 2016, which were the subject of extensive public consultation and then a further government response in August 2018. The reforms then lay dormant until brought back to life by the Coronavirus crisis in March 2020. The significance
