Liquidation / end of process

[cheekymeerkat]

Hi Folks,

I put my ltd co in to CVL 14 months ago, I can't get thru to the liquidator, he's on holiday!

I have spotted a LIQ14 form has been filed "return of final meeting", and the insolvency tab on CH now shows a "due to be dissolved" date 3 months from now.

The PDF is still processing so I can't view it.

I've been in agony with anxiety for the last 14 months thinking the liquidator will put a claim in against me as director due to potential preferential payment claims.

Does this sudden chain of events on CH mean I'm off the hook??

Thanks in advance

[StevieBee]

cheekymeerkat said:

Hi Folks,

I put my ltd co in to CVL 14 months ago, I can't get thru to the liquidator, he's on holiday!

I have spotted a LIQ14 form has been filed "return of final meeting", and the insolvency tab on CH now shows a "due to be dissolved" date 3 months from now.

The PDF is still processing so I can't view it.

I've been in agony with anxiety for the last 14 months thinking the liquidator will put a claim in against me as director due to potential preferential payment claims.

Does this sudden chain of events on CH mean I'm off the hook??

Thanks in advance

I don't see how the Liquidator can put in a claim against you that relates to preferential payments. The Hierarchy of creditors is determined by law then the liquidator. You have no say in the matter.

If you have any personal guarantees on anything owed to any creditors (such as a bank loan) then you will be pursued for any shortfall following completion of the liquidation process. But by now, I would have thought you'd be aware of this and the level of exposure if that's the case.

I think you need to look at the LIQ14 form and check to see if any creditors have objected. If they haven't then I'm fairly certain that will be that.

Been some years since I've been through this so don't take my word as absolute but that's my recollection of the process.

[sleepezy]

Presume OP means payments he made to themselves, or a relevant connected party, prior to the insolvency of their company in preference to all the other third party creditors to put assets beyond the reach of the main creditor body and benefit themselves instead, rather than a preferential ranking claim in the insolvency

[cheekymeerkat]

Sorry I should have worded better, I was advised by my advisors that the IP may claim against me as a director for paying down loans (which were PG'd), the PDF has now come thru and says there are no further matters and the liquidation may now be concluded. Also goes on to say liquidator did not identify any further assets or actions which may lead to a recovery for the creditors.

I think this means it's now a closed case?
I was surprised that the £150k worth of stock was apparently worthless and they advised the landlord to "dispose of it"

[StevieBee]

Yep. That sounds all good.

Chapter closed and on to the next.

They will have weighed up the cost of housing the stock, cost of selling it, shipping it and probably concluded it not worth the effort. But someone somewhere will make a tidy wedge that any creditor is unlikely to see. But that's no longer your problem.

Good luck.

[DaveA8]

When you write “PG’d” I assume you are saying personally guaranteed, if it was me, I’d be asking the Liquidators what happened to the stock because you might need leverage here.
It perhaps doesn’t matter to the liquidatior that there was a shortfall but the creditor who is owed money and has your personal guarantee will still be out of pocket and maybe look around to see if they can pressure you.
I had a share of a business and it failed, prior to my involvement the majority shareholder had a lot of personal guarantees.
I had got a marketing email from a debt negotiation company and to cut a long story short, he settled at less than 20p in the £, of course there was a fee but he was on cloud nine as the original amount was a lot
If you do have personal guarantees, you need to be very proactive in knowing what’s going on without awakening anyone but I saw how everything was quiet for months and suddenly it moved at lightning speed, they were definitely blitzing my friend but in the nicest possible way

[Badda]

DaveA8 said:

When you write “PG’d” I assume you are saying personally guaranteed, if it was me, I’d be asking the Liquidators what happened to the stock because you might need leverage here.
It perhaps doesn’t matter to the liquidatior that there was a shortfall but the creditor who is owed money and has your personal guarantee will still be out of pocket and maybe look around to see if they can pressure you.
I had a share of a business and it failed, prior to my involvement the majority shareholder had a lot of personal guarantees.
I had got a marketing email from a debt negotiation company and to cut a long story short, he settled at less than 20p in the £, of course there was a fee but he was on cloud nine as the original amount was a lot
If you do have personal guarantees, you need to be very proactive in knowing what’s going on without awakening anyone but I saw how everything was quiet for months and suddenly it moved at lightning speed, they were definitely blitzing my friend but in the nicest possible way

Is this an AI reply?

[Badda]

cheekymeerkat said:

Sorry I should have worded better, I was advised by my advisors that the IP may claim against me as a director for paying down loans (which were PG'd), the PDF has now come thru and says there are no further matters and the liquidation may now be concluded. Also goes on to say liquidator did not identify any further assets or actions which may lead to a recovery for the creditors.

I think this means it's now a closed case?
I was surprised that the £150k worth of stock was apparently worthless and they advised the landlord to "dispose of it"

Id be furious if I was a creditor of yours that missed out on being paid when you were wrongly clearing other invoices that you had PGed.

[DaveA8]

Badda said:

Is this an AI reply?

No, it’s a genuine effort to offer some advice to someone who is potentially not seeing a problem ahead
Like all advice it’s given with good intentions but the recipient show do their own research
If I’d signed a PG, relying on anything a company liquidator says is of little use since they have no duty to me.

[Mr Overheads]

cheekymeerkat said:

Hi Folks,

I put my ltd co in to CVL 14 months ago, I can't get thru to the liquidator, he's on holiday!

I have spotted a LIQ14 form has been filed "return of final meeting", and the insolvency tab on CH now shows a "due to be dissolved" date 3 months from now.

The PDF is still processing so I can't view it.

I've been in agony with anxiety for the last 14 months thinking the liquidator will put a claim in against me as director due to potential preferential payment claims.

Does this sudden chain of events on CH mean I'm off the hook??

Thanks in advance

14months ago you said:
"Hi Folks,

Today my employer went insolvent and I have 13 years service.

I have a question about PILON (Payment in Lieu of Notice).

My wages are £30,000/year (£578/week), so I will get the full 12 weeks PILON entitlement, however I have been advised the following:

1) Claim JSA because they'll deduct it anyway, and claim for as long is reasonable.
2) Don't work for 12 weeks to get maximum time off because if I find a new job too quickly, the notice period ends when I start new employment.
- Perhaps I'm best enjoying 6 weeks off being paid, spend the last 6 weeks job hunting and letting any protentional new employer know I can't start until my notice period ends?

Is the last part correct? Seems too good to be true."

So what's going on?