will setting up company been seen as dodgy

rudeboyroy

Hiya Guys, went bankrupt a couple of weeks ago and was self employed up untill that time. before going bankrupt a friend set up a ltd company so I could get my commisions paid into and was setup purely to be more tax advantagous.
This was planned for a long time and not something done because of bankrupcy. But was reading what you couldn't do while been bankrupt.
While reading the insolvency website it states That I am not to be concerned directly or indirectly in promoting forming or managing a LTD company or acting as company director!!!!!
Well i didn't form it, I don't promote it and am not a director, I have no say in the company, and all I get is my expenses and salary paid from it......

Does anyone have first hand knowledge of this please or could give advice...many thanks

wherediditallgo

I think you need to be extremely careful, bearing in mind what you posted on 18 July:

rudeboyroy wrote: »

As stated above, due to high unsecured debt 100k plus, the judge (quite a nice guy) said i would probarly have restrictions imposed, how will this affect me.

I have been stupid and robbed peter to pay paul but really couldn't handle this if it were to go on for 15 years, anyone got any advice would be much apreciated.

If they might be already looking at imposing restrictions on you (for whatever reasons), it will do you no good whatsoever to be involved in something like this without professional advice. In your shoes, I would contact the OR & ask if it is OK for your friend to do this so that you can get your commissions, etc. E-mail the OR with all the details, & get their permission in writing. Also, get advice from National Debtline or CCCS. I wouldn't allow one penny of my money to go through this friend's company without finding out first whether the OR will be OK with it, as you could be making a potentially bad situation even worse. It might be advantageous tax-wise to get paid that way, but personally I think you should go the straightforward route & use a basic bank account until you've got the OR out of your life.

rudeboyroy

thanks for the advice wherediditallgo, but i'f i'm upfront with the OR and give him access to all statements etc, really can't see what the problem is, as stated before i have nothing to do with the company at all, and if it saves me money!!!!

benjab

Hey Rudeboy,

I was discharged from bankruptcy in 2005 and have had no contact with the official receiver ever since, It's worth remembering that honesty is the best policy in these cases and that the official receiver will always be very quick to inform you of any wrongdoing on your part, Explain the case to them, If there is anything dodgy about it they will jump straight in and tell you.

a good site for further reading on credit repair, and debt in general, not only pertainent to mortgages is http://www.mortgagelenderforbadcredit.net

Cheers,... Benji

wherediditallgo

rudeboyroy wrote: »

thanks for the advice wherediditallgo, but i'f i'm upfront with the OR and give him access to all statements etc, really can't see what the problem is, as stated before i have nothing to do with the company at all, and if it saves me money!!!!

That's the point I'm making. Your friend has done this to enable you to benefit from the situation, but be upfront & honest with the OR & if there are going to be any problems you'll be advised of them from the horse's mouth so to speak. ORs can be varied in their interpretations of the rules, so it's much better for you to say something yourself about this rather than let them find out about the company situation at a later date & then have them drag up something you weren't aware of that then causes you problems.