Creditors Who Want Their Money is a post about proactive and fully engaged creditors. It is sparked following a recent meeting that I had with a creditor in a case where I succeeded another Liquidator as the office-holder at that creditor’s insistence.
The creditor made their feelings pellucidly clear to me when they undeniably could not have been misunderstood in saying, more or less verbatim, ‘I want my money and I am going nowhere and I am going to get my money if it takes me until I am in a hole in the ground‘.
Such comments might be considered somewhat out of the norm and arguably obsessive. However, in fact, that creditor has got the bit between their teeth. Having been initially left feeling arguably rejected when their claim was not formally admitted in the insolvency, their desideratum was to have their claim so adjudicated. They duly went with some alacrity to the court for the same and were rewarded with a favourable adjudication.
If creditors generally had this approach the culture of expectation in insolvency could conceivably change. Echoing the words of Simon Dolan who is currently in relentless pursuit of Her Majesty’s Government in seeking to end the Covid-19 Lockdowns through Court action, he recently said: “I never give up…. Le Mans taught me that!”.
Provided a creditor is not acting unlawfully or unethically the ‘never give up’ approach ought to be welcomed. Granted that an office-holder cannot act as the hired gun of a creditor but an engaged creditor can greatly assist an office-holder with information, whereas an insouciant and or apathetic approach risks rewarding rogue directors who see insolvency as a way of dropping the creditors like a stone and bypassing being held to account. That can potentially only act to the detriment of creditors right across the board and encourage a belief that they will never receive anything material from an insolvency process or a liquidation.
An example of creditors who never gave up might have been seen in the HBOS Reading case. Whilst many of those victims might never be fully compensated for the life-changing effects of the fraud, those that kept going such as Paul and Nikki Turner ultimately produced a wider benefit for the community of creditors and the victims as a whole.
If you are a creditor of an insolvency matter or a liquidation and you are dissatisfied, contact us for a Free Initial consultation. We have more than 20 years of experience in helping creditors make recoveries in insolvency cases. Do not suffer in silence. Call now to speak to our CEO, Elliot Green on 020 3925 3613.
Creditors Who Want Their Money is a post for information generally and observation. It is not legal advice and not to be relied upon as such.