posted on Jun, 8 2012 @ 04:33 AM
MODS, couldn't find another forum for this thread, please move if need be.
I am looking for some help from any members from the UK regarding the UK Insolvency Act and Administration Receivership. I have a bit of a story to
tell first so that you can get the picture and the reasons why I need advice.
A bit about why I need advice
My mother and father owned a successful motor trading company in Scotland for 37 years. My dad set the company up working from a shed in his garden
when he was 21. He eventually built the company up to become the main Peugeot car dealer for Aberdeenshire and Tayside. This is a geographical area
of about 13,848km2. At the height of his “career/company” he owned 2 repair shops, 3 petrol stations and 2 Peugeot showrooms and 1 used car
showrooms totalling an approximate value of around £6,000,000 in assets.
In early 2001, just before 9/11, his bank (Clydesdale) appointed a new branch manager at his local branch. This was the branch he had used for over
25 years and had a fantastic relationship with the then manager. That manager retired and a new manager was appointed. He was young and
inexperienced in my dad’s business. Within 3 months of being appointed, he approached my dad and told him that he had 3 months to reduce his
company overdraft by 50%. My dad’s company overdraft was £1,000,000, so my dad had 3 months to reduce it to £500,000 or the Clydesdale Bank would
send in receivers to seize all of the company assets to recover the money.
My dad appointed a law company, which he had used before for other matters and knew well. Their fee was £10,000. They advised my dad to lower the
overdraft within the time frame. My dad got the overdraft down to £500,000 by the deadline day but the balance was sitting at £500,050. My dad
queried this with his accountants who then informed him that “it’s only £50; they won’t be bothered about that. My dad even had the £50 in
The next day, feeling like he had kept the bank at bay went into work. At lunchtime, he got a call from the bank saying that receivers were on their
way. They arrived at my dad’s work, went through the formalities and told him. You are no longer required, we will be in touch.
37 years gone in the blink of an eye over £50. My dad’s company owned £6,000,000 in assets and now he had nothing (thankfully he still had his
house and land). Within one month, the entire company was made redundant, all property sold, creditors paid back and administrators paid. My dad was
left with NOTHING.
The garage in Tayside was worth over £4,000,000 and was in the process of being sold to Tesco to turn into a supermarket, the receiver’s pulled out
of that and sold it to another supermarket chain for £500,000. The other garages were sold for around £1,000,000. What was left once everything
was sold off at a ridiculous price was £127,000. It turns out that the receiver’s bill was £127,000. My dad got a big fat cheque for 37 years
and his “empire” for £0.00. It turns out that the one of the lawyers he appointed to help him with the £50 issue later resigned from that law
firm to work for the Clydesdale Bank. Is it possible that he knew the £50 would send my dad’s company down the drain and he did it for his own
This was 10 years ago; to this day he suffers anxiety and depression. Once a man of integrity and confidence is now a shadow of his former self. He
is 67 and regrets not being in the right frame of mind to go down the next day and buy all of it back with his own money in his bank account. He was
severely depressed and didn’t think to do that.
Why am I doing this?
I am a foster child; I was advertised in a newspaper when I was 11 and my mum and dad saw that advert and fostered me. I am now 28 and have 1 child
and another on the way. I love my parents very much and it hurts me every time I see my dad. My children love him and my mum so much and I want them
to be happy again. Even after 10 years they still suffer. I owe them help. The family has never spoken about it in great depth, what I have typed
above is a very basic run through but the main points are correct.
There must be something I can do. How can £6,000,000 be sold for £1,500,000 over £50?
Is there anyone on here who knows their stuff with receivers and taking them to court? I don’t want my parents to pass away and regret not trying
to help them…I know understand how important it is to provide for your family. Thankfully my dad was clever with his money and still has a fair bit
of it but it’s not the money that I want back for him, it’s the knowledge that what they did to him was immoral and wrong and can’t be allowed