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Ash
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
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My company Focuscraft recently claimed monies through County

Resolved Question:

My company Focuscraft recently claimed monies through County Court owed from a retail customer (Trading as a Limited Liability Company) who unknown to us had previously been declared bankrupt. We located the Insolvency Practitioners employed and only then did we receive a Statutory Meeting Creditors Report, chaired by the debtor, which included a list of the company's trade creditors. Focuscraft along with other significant trade suppliers did not appear on this list which thereby under stated the true debtors total. The stated cost value of customer's stock was £57,500.00 valued at £5,500.00 plus vat on a forced sale basis. We assume that this stock - retail value £100.00 approx, has been bought by the debtor who is able to continue trading. Focuscraft and other suppliers not on the debtors list had not been offered prior to insolvency the opportunity to have unpaid stocks returned or post insolvency the opportunity to make an offer to purchase remaining stock. Is our customer or the Insolvency Practitioner liable for any further action we may consider taking Barry ******** Partner Focuscraft

Submitted: 1 year ago.
Category: Law
Expert:  Ash replied 1 year ago.
Hello Barry my name is ***** ***** I will help you.
Just to be clear the debt was not included in the bankruptcy?
Customer: replied 1 year ago.

Correct debt was not included in the banruptcy

Expert:  Ash replied 1 year ago.
Do they still trade?
Customer: replied 1 year ago.

This is not been confirmed but we suspect stock has been placed on Amazon and Ebay in "nicknames"?

Expert:  Ash replied 1 year ago.
From them?
Alex
Customer: replied 1 year ago.

We do not understand your last Q "From them"

Expert:  Ash replied 1 year ago.
Are they selling them on Ebay etc?
Customer: replied 1 year ago.

Just found out that all stock purchased from the liquidation has been sold.

The Insolvency Practitioners are chasing the debtor for £5.500.00 in payment for this stock

Barry

Expert:  Ash replied 1 year ago.
Is the Ltd company now closed?
Customer: replied 1 year ago.

Wool Mountain ltd is now closed - assets were transferred to Purple Ewe Ltd - we do not know if this company is closed

Expert:  Ash replied 1 year ago.
Do you know WHO is selling your assets? Do they know they are yours?
Customer: replied 1 year ago.

Debtor knew some of the items were from Focuscraft

Barry

Expert:  Ash replied 1 year ago.
Ok. Then you can still get the assets back. If it was not included in bankruptcy then you can seek return of them. They belong to you and not these others traders.
If they wont return them you can issue proceedings for delivery up of the items and seek a Court order.
Can I clarify anything for you about this today please?
Alex
Customer: replied 1 year ago.

Dear Alex,

We believe all the stock including ours has been sold. Is there any further action a waste of our time and money?

Barry

Expert:  Ash replied 1 year ago.
Its bad news I am afraid, if it was sold and you were not included, potentially you could go after the Directors personally. But there is a cost to that and no guarantee of success.
To get to trial you are probably looking at £10,000 in legal fees. So its a commercial decision, what you have lost v legal fees v chances of recovery.
I am sorry if this is not necessarily the answer you want and nor the one I want to give you, but I have a duty to be honest.
Can I clarify anything for you about this today please?
Alex
Expert:  Ash replied 1 year ago.
Hi
I am just following up to see if there is anything else I can help with?
If you have not done so already might I ask you to rate my answer before you go today please, the button should be at the bottom of the screen.
If you need more help please click reply.
Alex
Customer: replied 1 year ago.

Alex W

Thanks for an excellant service

Barry hughes

Expert:  Ash replied 1 year ago.
Thanks. If I could ask you to click on the appropriate rating so I am credited for my time thanks.
Alex
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