No way out from Bankruptcy....beware

Radiantsoul

Sorry but it is difficult to understand what you are saying....

nickc25

I got lost at line one. Hopefully someone will be around to help, good luck.

Mumstheword

*think* I understand this. Also, I can see why you think it's grossly unfair, but I can also see it from the other side, fair or not.

Someone is about to go bankrupt.
They have something (in your case, part of a house) worth £50k.
Theysell it to a friend for £10k, as they are going bankrupt anyway, so whatever they get for this asset they'll lose, so dont care how much they get.
So....the trustees (??is this the right word?? whoever is dealing with the bankruptcy) will check out his assets, and notice that last week he had £50k of assets but this week he has just £10k of cash. I suspect the law allowing them to chase you as the purchaser of his assets at a cut price was set up to stop people doing just that...

eg a husband could declare himself bankrupt, but transfer all assets to his wife just beforehand.

Unfortunately in your case, you havent done this on purpose ( I presume) because of the impending bankruptcy, and it does seem a shame that it would be you losing out rather than him.

nickc25

Ah that is what it is?! I really got lost after a few lines.

Yep they will look into any sales that were made and if they were at the correct value. I think they have the power to reverse a sale. For example if someone has a car worth £5000 and sells it for £1000. The person who bought it could in theory be forced to give it back and they would be given back their £1000. I am pretty sure this would be similar with a house.
I was going to do the same with my car. My car was woth £6000 or £7000 and my HP was something like £18000, my brother was going to look into buying the car for £4 or £5k but it was not allowed, he figured that if it was going to auction for less anyway they woudnt mind, but I was told that it was not allowed so I got them to repossess the car instead. So I think it is all the same.

Like the guy the other day who posted about a stash of cash offshore, they look into everything and that is why the investigations take so long.

Anyway good luck hope it works out.

Jane61

Thanks for all the replies especially from Maxmycardagain!!
And thanks to the one who suggested that I got in touch with debtdivas.co.uk I spent over a hour thalking to a very understanding lady who although couldn't give me a solution straight away, was very sympathetic to my case and will be asking one of her colleagues to get in touch with me....i'll keep you posted.
All this is about is that I have been divorced for 14yrs, paid off the ex's debt as this was tied to my home, the bankruptcy was annulled after I had paid a very large sum of money to the Trustees.
I can see why some people think and in some way the law has this covered due to scamming but in my case this is so for off the point. I haven't spoken to the ex in a civial way for more than 14yrs due to the fact that he abandoned his children and his responsibility...got remarriage and had another family which he has now divorced again and is set to 'yet again' marry this summer. But its still ME who will be paying the cost for him.
Think I should start up the EX wives club??? the ex wife has lost everything as well.

maxmycardagain

there MUST be a "cut off" point in any ORs interest in a BRs assets, otherwise it could get silly, such as in this case.

sniggings

I'll have a go;)

its sounds to me that, the judge said to you,you owe your ex £50k but because he owes you for not paying for the kids etc just give he £10k,it would have just been the same if you gave him his full half then the judge made him give you back £40k because he hadnt paid for his kids etc either way seems to me it's all done with now and I can't see how it can be looked into again,the only thing that might make a differance is if the judge was unfair at the time and should have given your ex more than £10k,then I could see that it would be unfair on his creditors as they are losing out because the judge might have been a bit hard.

and I know your not going to like this but when it comes to court/BR it's all about the money!they've not bothered if he's a good dad etc so my advice to you would be to try and concentrate only on the money side of things cos it'll save you alot of heartache,

Radiantsoul

There is quite a bit of waffle that is hard to read, but the main issue is around the repayment of your ex-husbands bankruptcy debts.

The situation seems to be:
1. You ex husband was made bankrupt
2. You paid off his debts of £48k in order to remove the threat of repossession
3. He remained the joint owner of the property
4. You then went to court to have him removed and paid £10k for £50k of equity
5. The law has changed and in bankrupcty any transaction at under value can now be unpicked even if supported by a court order. See http://business.timesonline.co.uk/tol/business/law/article1769520.ece

I can't see that you are going to be able to obtain indemnity insurance(and if you do the premiums would be massive).

It strikes me that your repayment wass a repayment of a quasi-secured debt and therefore should have increased your equity in the property. I doubt there is much case law on this and I suspect even a solicitor is going to struggle to answer it.

nickc25

I agree. I spoken to my sister in law who is a solicitor and she cannot get her head around it!

With regards to the emotional side of things, try not to be bitter about it, I know that must be very very hard but try to move forward and think of the good things in your life such as your children and health because at the end of the day that is all that matters, the other things are just bricks and paper.

iquit

Jane61 I hope that you've been able to get more info to help you through this situation. Glad to hear debtdivas were helpful.