Discharged from bankruptcy and IP asking for money

Chrissy888

Hi

Basically my husband went bankrupt in May 2017 due to being a guarantor. Discharged May 2018. Bought out equity in the house and no IPA set up.

July 2018 he received an email from the insolvency practioner stating that he received £17,500 from his dad in May 2015 and they want it all back.

Is it too late for them to act due to being discharged or are we still liable for this money?

Thanks in advance

National_Debtline

Hi Chrissy


Your husband would not have to declare any assets he received after being discharged from bankruptcy. However if he received an asset prior to the bankruptcy order being made that the Insolvency Practitioner (IP) has only just become aware of it, it is possible for them to make a claim on it even though he has already been discharged.


Your husband may need to seek more advice on this and I would recommend he gets in touch with one of the free advice agencies to discuss the situation and his options in more detail.


Best wishes


Susie
@natdebtline

AndyBSG

So he received the money two years before being declared BR?

I honestly don't know how the OR could claim money that was long gone before the BR took place.

I could understand if he received the money shortly before BR and the OR suspected it was deliberately disposed of prior to BR, or if it was received between the BR and discharge date, but not sure on what basis they would be claiming it back here.

I assume the money was either gone or, if not, was declared during the BR?

mummyofboys1985

OR can and will claim anything they deem as an asset even 3 years before your bankrutcy date. However, if your bankruptcy was due to a guarantor loan then you could "maybe" try fight it. OR looks at assets years before bankruptcy because most insolvent people are aware its coming, so they could dispose of assets and OR has the power to get these back. Your case might be slightly different as you wouldnt have known 2 years in advance that the lending your guarantor on would default... if that makes sense?