Unprofessional administrators - Faith shoes

lb364

OK, excuse my waffle because I'm peeved!

I had £50 of Faith gift vouchers when they went into administration. The staff at my local store were told they couldn't accept the vouchers but if I sent them to the administrators (Mazars) I would receive a full refund in two weeks.

I sent them recorded delivery and enclosed an SAE.

Two weeks passed and I hadn't heard anything so I emailed Mazars then left a message on the voicemail of the person 'dealing with Faith'. I heard nothing so I phoned again and finally spoke to someone. She was very 'helpful' and told me I would receive the full amount (she confirmed this several times) but it would take longer than two weeks so I waited...

I then received two letters from them suggesting the creditors holding vouchers would only be paid 2-3p in the pound, if anything.

I once again phoned and spoke to the same person who confirmed the 2-3p in a pound and completely refused to admit what she had said previously.

So, is that it? Is there any more I can do? Or are these overpaid people allowed to lie to creditors and get away with it?

Any help/advice appreciated

mjm3346

I can understand the staff wanting to fob you off and maybe not knowing the procedure but the administrators should have known better, the vouchers make you an unsecured creditor and 2 or 3p in the £ would not be a surprise. I doubt there is any action you can take to get anything more from the administrators, do you have any evidence they said you would get paid in full?


https://forums.moneysavingexpert.com/discussion/1328945

Equaliser123

Doesn't really matter if the administrators actually said you would be paid in full or not. They can only pay out after the administration of the company. If there is nothing left, then you won't get anything.

It's hard luck, I'm afraid.

lb364

mjm3346 wrote: »

I can understand the staff wanting to fob you off and maybe not knowing the procedure but the administrators should have known better, the vouchers make you an unsecured creditor and 2 or 3p in the £ would not be a surprise. I doubt there is any action you can take to get anything more from the administrators, do you have any evidence they said you would get paid in full?


https://forums.moneysavingexpert.com/discussion/1328945

Thanks for the reply and link. I don't blame the Faith staff as I believe they were also lied to by Mazars.

Would have preferred not to have bothered if they had just been honest in the first place, that's why I'm so annoyed plus imho the woman was quite obvious in her voice that she knew full well she had lied :mad:

Also, does the Debenhams purchase of Faith have any bearing on their debts?

mjm3346 wrote: »

do you have any evidence they said you would get paid in full?

Sadly not - I naively believed professional accountancy firms didn't lie

Judas

I think it is far more likely that you either misunderstood or circumstances changed than you where deliberatly lied too.

Administration is a statutory process and takes time and can see circumstances change throughout.

Evilm

Its possible that the staff were told that if you sent in the vouchers you would be listed as a creditor for the amount of the vouchers. Unfortunately the creditors only get p/£1 in an administration case since the company usually does not have enough assets or funds to pay its creditors in full.

If you had it in writing they still would (most likely) say it was a mistake and refuse to honour it - you can only sue the company not the administrators and since the company have no money to pay it wouldn't get very far.

mjm3346

lb364 wrote: »

Also, does the Debenhams purchase of Faith have any bearing on their debts?

Probably only that the money Debenhams pay will go towards the pennies in the pound being paid out.
Debenhams will not have taken on the debts (which includes the vouchers).

lb364

Judas wrote: »

I think it is far more likely that you either misunderstood or circumstances changed than you where deliberatly lied too.
QUOTE]


No, I didn't misunderstand, the conversation went:
'So I will still be getting a cheque?'
'Yes.'
'I will definately receive a cheque for the full £50?'
'Yes, but it will take longer than two weeks.'

Either way they lied as today she denied saying it.

Thanks for your input though, not having a go at you

Equaliser123

lb364 wrote: »

[

No, I didn't misunderstand, the conversation went:
'So I will still be getting a cheque?'
'Yes.'
'I will definately receive a cheque for the full £50?'
'Yes, but it will take longer than two weeks.'

Either way they lied as today she denied saying it.

Thanks for your input though, not having a go at you

OK, but is academic anyway. If there is no money, then there can be no pay out.

pmduk

If you can prove what they said to you I'd complain to the Institute of Chartered Accountants of England and Wales. Otherwise it's your word against theirs.

Equaliser123

pmduk wrote: »

If you can prove what they said to you I'd complain to the Institute of Chartered Accountants of England and Wales. Otherwise it's your word against theirs.

But what is the hoped for outcome? They MAY have made a mistake. No loss has been suffered.