the law and insolvency practitioners

i received this enlightening email today :

We recently ran a survey of our clients to find out how many had been negatively impacted by non-paying debtors who had utilised a pre-pack administration (where the assets of a business are sold back to the directors, sometimes at under value, to allow them to start up a brand new company in a slightly different name, and in the process legally avoid paying their creditors). The response was overwhelming with 80% of our clients stating that they had been forced to write off debt as a result of company failure and 96% of these calling for a clampdown on such companies.



The massive response has prompted us to launch our own campaign to call for a change in the laws surrounding pre-pack administrations. The recent government proposals for a three day warning to be given to creditors regarding pre-pack sales will do little to prevent unscrupulous directors from exploiting the pre-pack system to avoid paying their creditors. The government needs to go further and give real force to the Statement of Insolvency Practice (SIP 16) along with penalties for non-compliance, so it is properly interpreted and complied with.



In our view the two main areas of contention are:

Company directors who serially start and then wind up companies; often as a cynical way to write off debt; and secondly,

insolvency practitioners (IPs) who are failing in their duty to protect creditors’ interests.

Under SIP 16, Insolvency Practitioners are supposed to explain to creditors the full background of their appointment and why they believed the pre-pack was the best way forward. They have to reveal the name of the purchaser and the price paid and a minimum of 17 key pieces of information such as marketing activities, names of rival bidders and valuations received. However, these act as guidance only and the Insolvency Service’s own monitoring of SIP 16 reveals large numbers of cases that were not compliant.

Daniels Silverman has started a petition calling for the government to give statutory force to SIP 16 and clampdown on the loopholes in the current legislation.

Please support our campaign and sign our petition at [You must be registered and logged in to see this link.]



We’ll keep you posted on our progress.



Yours sincerely





Carole Hughes
Managing Director

Daniels Silverman


seems like common practice amonst leeches

The club we all love is being stitched up like a kipper and what are our self styled representatives doing / saying ?

It is time for a total boycott, liquidation and a new club to emerge. The future, under the parasites past and present, currently conspiring to use the club for their own ends is bleak. We'll end up out of the Football League anyway.

How can people have so little pride and dignity to support a club in the hands of this scum ?

Daniels Silverman are a debt recovery firm that likes to pretend its a legal partnership. They're just touting for business.

Debt recovery agencies are scum, if you're a client they'll send a few bog standard menacing letters to your creditors. As a debtor they'll chase any debt no matter what the circumstance even those that are statute barred and whack utterly disproportionate fees on top. They have absolutely no legal mandate whatsoever.

They sprung up en masse towards the beginning of the millenium as credit got chucked around left right and centre and took advantage of the lack of interest of companies in chasing defaulters.

They take their petition and shove it!

forget who or what they are, the point of the email was to highlight the way ex directors can avoid paying for their own mistakes and, in fact, benefit from it, to the detriment of other vreditors and, in our case, supporters.

whats been outlined in that email is symptomatic of the money graabbing ethos that surrounds our clubs ex-directors, present directors, admin facilitators and society in general.

liquidate and uphill Gardener them

I think/hope that those that have placed us in this position are/will be investigated and hung out to dry.

I'm very interested to see what happens to Stapes and his vile violation of stripping a charity.