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Alex J.
Alex J., Solicitor
Category: Law
Satisfied Customers: 3666
Experience:  Solicitors 2 years plus PQE
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Is it legal if a company that is subject to a compulsory strike

Customer Question

Is it legal if a company that is subject to a compulsory strike off for failing to submit accounts channels its income into a different company?
Submitted: 1 year ago.
Category: Law
Expert:  Alex J. replied 1 year ago.
Hi, Thank you for your question and welcome. My name is ***** ***** I will assist you. Does the struck off company have any creditors?
Customer: replied 1 year ago.
i don't know...
Expert:  Alex J. replied 1 year ago.
Hi, Thank you. If you start diverting the funds to another company and the company has creditors, the creditors could restore the company to the registered and then petition for its liquidation. The result of this maybe that the directors of the company could become personally liable for its debts and/or the other company (that the funds are diverted to) could become liable for the debts). Is there a reason why the company cannot be restored? Kind regards AJ
Customer: replied 1 year ago.
The company hasn't actually been struck off yet..there is an active proposal.
Customer: replied 1 year ago.
I am an employee and not really sure what the situation is.
Expert:  Alex J. replied 1 year ago.
Hi, Thank you. How is the income derived? If the company is struck off, the assets of the company will be held by the Treasury Solicitor until the company is restored.
Expert:  Alex J. replied 1 year ago.
Hi, Thank you. Are you being transferred to a new company?