Can Bankruptcy take Criminal Compensation Award????

lynnie2108

Without going into too much gory details, i was physically abused my by father for 17 years and we took him to court and last month he was found guilty, he'll be sentenced on Friday.

I made a claim to the Criminal Injuries Compensation Award body a year ago and am dur to be finding out soon how much I will get. In the meantime, I was made redundant, sold our house, now live in rented, I am currently a student re-training and because of my debts I am going bankrupt. The thing is I don't want any of my CICA money to go to the bankruptcy, the way I see it is this money is to make up for my crappy childhood and the marks it's left on my life still.

So are they entitled to take any of the CICA money?? Please help!

Merry_Gentry

I might be wrong, but I understood that compensation for 'suffering' wasn't touched. However, I could be wrong....

sieve

Hi there,

Sorry to hear about your ordeal.

If the compensation is awarded before or during your bankruptcy, then I have a sneaky suspicion it may form part of your bankruptcy estate and the official receiver could take it to pay off your creditors. If it is awarded after you are discharged (a year from the date you are made bankrupt) then it's yours.

Could the CICA money pay off your debt (even as reduced partial settlement)? As that would be the best option for you - obviously I don't know your circumstances but have you considered it as an option?

Cheers

S

skylight

If its for injuries, then no. They cannot take the money at all.

lynnie2108

skylight wrote: »

If its for injuries, then no. They cannot take the money at all.

Do you know what legislation it is protected under??

I have thought about using it to pay off debts but to be honest my family and I have been through hell and back over the last 4 years taking my father to court and I would rather go on holiday with my long suffering family and send a postcard to my dad in prison than use any of it to pay off debts! That may sound unresponsible but to be honest, I don't care!!! I just want to enjoy a family holiday for the first time in 7 years without worrying.

gettingbetter

hi Lynnie

i can understand why you want the holiday
i think if i remember right (there was a
thread before about this)
if claim was for lose of earnings
the or had a claim
if it was for injuries they couldnt

the real experts will be here soon
thats just my opinion

kas xx

fermi

Here: After Acquired Property (July 2007)

The trustee may not claim compensation paid to the bankrupt under the Criminal Injuries Compensation Scheme for personal injury, although there is a possibility that the trustee can claim any award for loss of earnings. The matter should be referred to the examiner for advice.

If you don't have a separate trustee, the OR is the trustee.

sieve

Ooh I take it back! That's good news for the OP

lynnie2108

Thank you!!!! The Scottish Debtline person got it wrong, he said that they couldn't take loss of earnings but could take money for injuries!! I was sure he had as he wasn't 100% sure but I was worried!

Thanks again,
Lynnie xx.

coolcait

lynnie2108 wrote: »

Thank you!!!! The Scottish Debtline person got it wrong, he said that they couldn't take loss of earnings but could take money for injuries!! I was sure he had as he wasn't 100% sure but I was worried!

Thanks again,
Lynnie xx.

Hiya Lynnie

Scottish law and English law on bankruptcy are different in lots of areas. It looks like this is one of the areas where they're the same :T.

Someone asked a similar question a little while back, but I can't figure out how to link to the post . Here's the answer I gave then (and I'm sticking with it!):

"Here's the relevant bit from the Accountant in Bankruptcy's guidance for trustees:

66.22.2 Criminal Injuries Compensation

It is provided in Section 7(2) of the Criminal Injuries Compensation Act 1995 (replacing earlier provisions in section 117 of the Criminal Justice Act 1988, now repealed), that an award made under the Criminal Injuries Compensation Scheme to a debtor shall not vest in the trustee. It should be noted that the statutory scheme giving effect to this provision came into effect on 1 April 1996.

Awards resulting from claims made before 1 April 1996 are not covered by the Scheme; such awards do therefore still vest in the trustee as acquirenda in terms of Section 32(6) of the Act. This is of course without prejudice to the debtor’s right to apply to the sheriff under Section 31(6) of the Act, for an order exempting the award from vesting in the trustee.

Despite awards made in respect of claims made under this Scheme vesting in the debtor, it is open to a trustee to arrange an IPA or IPO in terms of Sections 32(4A) and 32(2) of the Act."
Link:

http://www.aib.gov.uk/Resource/Doc/4/0000676.doc

HTH. I think you deserve a holiday - not just because of what you went through as a child, but also because of your courage in seeing the court case through to the end! :T

fermi

lynnie2108 wrote: »

Thank you!!!! The Scottish Debtline person got it wrong.

Didn't know you were in Scotland.

As coolcait says, the position is for all practical purposes the same.

If you ever need to refer to anything in case of dispute, you will need to use the quote and link from their post though. Mine is for England/Wales only.