Chairman of a worldwide group of companies
Our client was chairman of a worldwide group of companies with an estimated turnover of $600 million. He was faced with almost certain director disqualification by the DTI due to serious crown deficiencies totaling nearly £2 million, following the liquidation of a company of which he was a director.
What we did
FWJ requested a meeting with the Chief Examiner of the Insolvency Service together with our client (prior to proceedings being issued), to explain the particular circumstances of the company’s failure and the mitigating factors in this case.
The DTI decided not to issue proceedings, thus saving our client the cost of a major business restructuring, together with the expense of a the directors disqualification proceedings, a section 17 application and the inevitable resignation by him from his banking interests.
This was a highly unusual position for the DTI to adopt, particularly as the liquidated company allegedly owed over £2 million of Crown debt.