PWC Progress Thread - NRP Selfemployed Ltd company

clearingout

I have decided to start a thread on which I can track my own 'progress' and hopefully get some advice from those of you who have been there, done that.

Ex husband left 19 months ago (November 08). We have three children, the youngest of which had just been conceived at the point he left. Not a penny paid for 4 months in either maintenance or towards the mortgage so I went to the CSA. He didn't like that. He is self-employed, has a ltd. company. I was company secretary but resigned about 6 months into the mess because I realised he was getting up to all sorts of illegals. Declares a salary far less than what he takes but I would be happy with the amount he's assessed for and would leave it at that. DEO set up - one payment made (November 09) and nothing since. He sees his children on his terms as and when and I do not block contact at all.

Have his business bank statements as part of the divorce process - let's just say he uses the business bank account like his own personal account. Sooner or later the tax man will catch up with that. Bank statements have been sent to CSA. Girlfriend (now ex, I think) was taking a salary from the business and a company car. Girlfriend has other full time employment so definately just about evading maintenance payments - again, I can live with this, I just want something to help support the children. Ex and girlfriend set up two companies together where she is sole director, I assume at some point he will move business assets across so that everything is in her name and he stops drawing a salary - however, she does seem to be off the scene so this may not happen (and see below).

He seems to have closed his business down in anticpation of moving (see below). He is setting up a new website with a new business name (yet to be registered with Companies House) and hasn't been shy in letting me know this, even asking me to proof read it for him! We are on reasonable terms, providing I don't mention money, and I am trying to keep it this way as he trusts me and tells me stuff which is useful!

He is not aware that I know, but he also buys stuff wholesale and sells on ebay - done in his brother's name but his contact details given. I have not declared this to the CSA but it's something I'm keeping an eye on. I honestly can't see it making any real money but he seems to enjoy it as a hobby. Again, I don't want to fleece him for every penny but he really needs to start paying something!

He got a good divorce settlement - in many ways I had lost the will to live and just wanted it over. He didn't disclose anything at all really, just the business bank statements, no personal accounts etc. but I let it go. Split of capital was 55/45 in my favour when I was advised I could get much higher, no spousal maintenance when again I was advised I should go for it. With some help from my mum I will be purchasing a property outright in my home area. Ex is also moving and should be able to purchase outright as well - so there is no need for him to be annoyed at anything. He has alot of debts - good number of CCJs accumulated since he left, some secured against the houses we are selling. I have no idea, really, of the extent of this issue but he has ruined our credit ratings and family home is under constant threat of repossession as he only pays the mortgage when it suits him (court ordered to do so). I will be re-training as a teacher once I am settled so really need him to cough up so that I can get through the training year without any further debt - I have two children to put in childcare so the costs are high.

CSA tell me that the case is in the 'debt enforcement' department and that 'inspectors' have been sent out to him. Inspectors been out twice, apparently, and not got a hold of him. No payments being made.

Where do I go from here? I am sending any correspondence via recorded delivery. I have asked if some kind of order can be set up on the house prior to it being sold so I get the arrears - no response as yet. I suspect it will be too late as the sale is going through at the moment. I have forwarded so far:
- business bank statements showing personal expenditure (payments to Thomas Cook at the time he went on holiday, for example) above his salary and that 10% of the business turnover has gone to his girlfriend in the form of a salary
- Land Registry proof that he owns the house they say they can't contact him at
- Print off of house sale details from Rightmove.com
- two personal bank statements I got as part of the divorce which show that he has another business account and therefore has additional income (again, something I should have fought for through the divorce but just couldn't continue)
- previous company accounts (although he hasn't filed for a number of years at Companies House - can only assume that they are after him as well!) which shows he took dividend payments as well as a salary

All I want is a fair amount of money to be paid for the upkeep of the children who are currently going without. I have made it clear to him that I am more than willing to make a private arrangement and drop the CSA if he starts paying through them for a few months but that if it were to stop, I would go straight back to them. He has ignored this.

I am particularly looking for help in how I approach the CSA. Everytime I call, they don't seem to have moved anything forwards and everything I say just seems to be received with a nod of the head in agreement but nothing ever gets done!

thanks for any help!

clearingout

Forgot to add, he muddied the waters about a month after the baby was born by telling the CSa that he wasn't the father. He then refused to have the DNA test when offered it (I completed all the paperwork and sent it back) so they assumed paternity, obviously. He then tried to muddy the waters in court by saying there was 'doubt' over paternity but the judge refused to order a test, saying it was something the CSA could deal with (we were in court over residency of the children as he claimed I was unfit - mentally ill, violent etc. etc., all unfounded and residency finally awarded to me by way of a Consent Order). So he went back to the CSA who seemed, initially, to agree to him doing a DNA test by accepting the paperwork (he faxed it through to them, that much they have told me) but then they refused to continue with it. I am not sure of the reasoning - it is his side of things, obviously, so they won't tell me. I often wonder if the case is stuck somwhere because of this?

PlayingHardball

Hi Clearing.....yes there is something you can do to kick start the CSA. Write to your MP and explain that your case is going nowhere, you don't seem to be getting the level of service you should expect from the CSA, and your children are being greatly deprived financially.

This sounds like a clear case of maladministration to me.

I spent about 10 months myself trying to kick start the people at the CSA to achieve something with regards to my situation, then found the advice here to contact the MP. Then, presto bingo, within a few weeks of the letter to the CSA from my MP - I finally got some action! My case then went to the Parliamentary resolution team who seemed to take me seriously.

Good luck! Maybe others will have other suggestions to help, but I really think you should write to the MP.

One other thing you can do, is contact NACSA who I am now using, they are brilliant and know all of the child support law and will advise you accordingly. They can also do all the work for you with regards to the CSA, for a relatively small monthly fee. (£15)

Keep us posted

clearingout

thanks playinghardball. I will do that - I have been toying with it. the issue I guess is that we're moving areas so there's not much point until we're moved or it will be a change of MPs as well as a change of address at the csa!

Will keep you posted. Am intending to use this thread as a log of all my action in the future. It may, or may not, prove useful for other people trying to deal with these issues.

clearingout

right. Following my 'what on earth is going on?' call last week, CSA called me from within the 'complex cases' team today.

1) They have looked at all the bank statements etc. and agree that it is clear he is living a lifestyle which is inconsistent with his income. However, apparently, being able to prove he uses his business bank account like a personal account does not mean that he is taking dividends over and above his stated salary (despite the fact you can see his salary going out of the business account and into his personal account?). So, this info has been passed to the 'inspector'. I guess what his means is that unless his business accounts show dividend payments (and he hasn't filed anything with Companies House for 07/08 yet let alone any other year), the money he is taking over and above the salary could be considered a 'director's loan' and there's nothing they can do about that? He's allowed to loan himself money, I guess? And live the life of riley whilst we have nothing. Fab.
2) The 'inspector' is trying very hard to get hold of him. He keeps changing his business address (I know this, I have kept them informed every time I've found out) and is not answering letters. These letters are 'under caution' letteers warning him of what will happen if he doesn't respond.
3) I asked if there was anything at all they could do regards him selling his house (sale pending at the moment). He said as there is, as yet, no Liability Order, they can't put a charge on the house in time. He did suggest, that as ex will need my signature, perhaps I could either stall until things go that far and/or demand the arrears up front prior to signing. Whilst this is sound advice, the problem is that I am also selling a house that I'll need his signature so if I don't sign, neither will he! And as both houses haven't had the mortgage paid for some months, they'll be repossessed so it's not going to work. Pity. Apparently, however, even if he does come up with the full amount now, whilst it will 'help his case', what it won't do is stop the investigation.
4) They will phone me back at the end of the month with progress..

He owes me just short of £3k at this time. I think we're in this for the long haul, folks!!!

daska

Have you considered contacting the HMRC. TBH I'm not an expert when it comes to business accounts but I do know that there are strict rules concerning dividends etc. So I have no idea if any of what he's doing would be considered serious enough for them to investigate but it might be worth exploring.

clearingout

Hi daska. yes, I have contacted the HMRC through an anonymous reporting page on their website. However, I don't think I was able to tell them anything that wouldn't be obvious upon looking at the bank statements and pay slips. It was actually the most horrible thing I've ever done - I held off for nearly 16 months before I finally decided enough was enough and he shouldn't be getting away with it any longer. By this point, the HMRC had actually contacted me as I was previously company secretary (resigned when I couldn't get any info and I think HMRC must be slow to update their records as it was a good 6 months between the resignation and their contact) and told me they were coming out on a 'visit' the next day. Ex was actually on holiday. Thankfully it was a phone message - I phoned my solicitor to ask what I should respond wiht and I finally called back, told them I was no longer the secretary, gave them the date of my resignation, his full contact details and asked what it was concerning. She wouldn't tell me!

However, as for a while I got letters addressed to me as company secretary, I know he hadn't paid Corporation Tax for a couple of years (and although for at least one of those years, I know he was in deficit, the fact they were chasing would show that he has never bothered to discuss things with them) and that he hasn't filed accounts with Companies House. Sadly, now both the HMRC and CH have acknowledged my resignation, I don't get any mail! Boo!

The really sad thing is, his business is very small and really not worth attempting to defraud. I dropped the kids off recently and we sat and had coffee - I commented on the paperwork (a huge box full) on the table and he said yes, he'd had to clear it from the office as the girlfriend (now ex) had a key and he didn't want her to be getting hold of any of it (she was his book-keeper). Now, if alarms bells don't ring there, they never will do! Firstly, if she's your book keeper, why the hell isn't the financial information all nicely filed in folders with labels (used to be like that before the book-keeper days WHEN I DID IT ALL!) and secondly, what is it he doesn't want her to get hold of to use against him?!!

he's a stupid man, he really is.

clearingout

Phoned CSA this morning as no further information forthcoming, despite the fact that the last chap I spoke with told me they'd call me back at the end of June to let me know progress.

spoke to yet another new person who had no idea about my case....very helpful in her own way. Case seems to be with the 'inspectors' still but also back in 'complex cases' and 'debt enforcement' (anyone taking any responsiblity?!) and she admitted they seemed no further forward. I asked how could it be that an employer with an attachments of earnings order which is unpaid for 8 months now, was getting away with it? she told me it was a 'good question'. Quite.

Have been promised a call back today. Not holding my breath....

clearingout

Received a call back late in the afternoon - was rather surprised! However, we are no further forward. It is clear that the case is now sitting with both the 'inspectors' and the complex cases team. Inspectors are inspecting lack of payment, complex cases are looking at the variation I applied for about a year ago...ho hum. Told them really, all I cared about was him paying something and that I would be happy to forgo the variation process if they would simply focus on getting some money. I gave his mobile phone number and address again. I gave his new work website address and phone number again. Was told they would update me in a month.

I remained calm throughout - woman had clearly tried to get some information and was somewhat embarsssed about coming back to me with nothing so fair play to her for making that phone call with no info. I did tell her, however, that I am increasingly frustrated by the lack of action (or perception of) and asked could someone please call me and tell me what sort of information they are looking for in terms of nailing him from a buisiness point of view and a variation point of view as for all I know, I am sitting on a ton of relevant information that I don't think is relevant and so haven't told them! She told me she would add this to the notes.
See you in a month!

clearingout

Oh, and I asked if the ex had been in touch at all. She said no, there is no record of any contact with him since October last year.

gratefulforhelp_2

I have two little suggestions, one is to keep all communications with the csa in writing, also make sure you have his car registration, as they can find that useful when trying to get hold of him?

Also, can you get together with the ex girlfriend for coffee? May stick in your throat but may also be useful?