This case featured another judgment in a group of cases which arose out of schemes which were designed to enable self-employed individuals to avoid the obligation to pay income tax and national insurance on their remuneration. The company’s problems began with HMRC assessing it for income tax and NIC for around £2.2 million. The company … Read more
Where a transaction challenged under s 423 IA can be said to have had more than one purpose, there is no requirement that the prohibited statutory purpose of putting assets beyond the reach of claimants must have been a ‘substantial’ purpose of the transaction before relief will be granted. The relevant enquiry is simply whether … Read more
Where a company is the Claimant and the claim will involve questions of fact, the appropriate originating process is a N1 claim form under Part 7 of the CPR, not an insolvency application. This is an important case where the Applicant was an assignee of certain claims. It issued an application including transaction avoidance provisions … Read more
A Fascinating Case Linking Insolvency, Company and Property Laws The court has wide powers to prevent creditors being defrauded: transactions at an undervalue can be challenged under section 423 Insolvency Act 1986 even if the debtor is not a party to a transaction or does not have a beneficial interest in the relevant assets. Debtors … Read more
