Advise- Bankrupt and owner of a business

MEM62

silvercar wrote: »

So why does he need to go bankrupt?

He probably doesn't. It looks like a tactic to avoid paying his debts.

Blackbeard_of_Perranporth

If OP has two legs to walk on, then use them!

Mummy2211

Basically he owes around £45-£50k. In loans and credit cards.

I have told him i do not agree with him going bankrupt at all, and my main worry is the business itself, as its something we have built on together, and is now finally getting somehwere with the work.

The story is - His brothers name was on our mortgage its a long story
1 Partner and brother brought the house
2 we paid said brother off with a personal loan - but unable to take the mortgage over in mine and partners name, so said brother has stayed on mortgage, but never paid into it.
3 Sold house - Said brother took what would have been his cut of the sale until partner sorts his debts out, and then he will transfer him the rest of the sale money, but into his mothers new bank account and partner will have a card to access that money.


I don't have a say in any of this, and i certainly do not agree with it at all.

I just wanted to know if this will hurt the business and myself.

TheGardener

Mummy2211 wrote: »

...I just wanted to know if this will hurt the business and myself.

Yes, it will hurt the business.

You - make sure that you take steps immediately to close any joint accounts or any formal financial partnerships you have with him. Have your own bank accounts. Are the utility bills in his name?
If they are joint - change them - either to you or him but either way no joint names. Obviously if any of the joint accounts are overdrawn or money is owed on them you would need to clear them first.

What your hubby is proposing is fraud and if you have joint finances, that will significantly affect you too. He might not want to listen to you about his affairs but you can look after your own .

Talc1234

Mummy2211 wrote: »

100% i know its wrong, but he wouldn't listen to me, as i'm just a women!
His money adviser is actually a registered one or what every they do, He sorts all the family's money out or gives them advise anyway..

So the house was sold, he has £60k in his brothers bank at the moment, But they told him to go bankrupt - his family keep the money in a bank in their name, and give him the card for the account, and then he will have the full house sale money left!!

It will be fraud not to disclose the money to the official receiver. Penalty is up to 7 years in prison and bankruptcy restrictions for up to 15 years. For further details

https://www.citizensadvice.org.uk/debt-and-money/debt-solutions/bankruptcy-2/bankruptcy-offences/

Mummy2211

TheGardener wrote: »

Yes, it will hurt the business.

You - make sure that you take steps immediately to close any joint accounts or any formal financial partnerships you have with him. Have your own bank accounts. Are the utility bills in his name?
If they are joint - change them - either to you or him but either way no joint names. Obviously if any of the joint accounts are overdrawn or money is owed on them you would need to clear them first.

What your hubby is proposing is fraud and if you have joint finances, that will significantly affect you too. He might not want to listen to you about his affairs but you can look after your own .

Luckily the only account I have with his name on it, is the business account, although I don't have any dealings with that, But I have got the forms to sign so it can go into his name only.
we don't have a property at the moment, So there are no bills to share..


I will now leave this to him and his family to sort out, once my name has been taken off. I don't want anything to do with this at all.

Mummy2211

so found out today that he has opened up a new bank account for the business in his fathers name! he has put his father down as the director of the company... although its with the same bank as we have a business account already and with the same business name!!

I'm not sure how that will now work out with his dad, as his dad is retired, but now will have a bank a business account I his name? So surly now his dad will have some sort of tax to pay?


can the courts trace any of this back? as he and his family are still set on the idea of him going bankrupt! as the money from the house sale is in his brothers account, and the business money now in his dads account! his brother transferred some money to his parents account for my partner to buy a van, and the van is in the company's name..

just me and my family that are getting screwed over now, as he owes my parents money but now saying he is unable to pay them anything as he is going bankrupt and the court will take it back off them!! Even though his brother has the money in his account so his brother can make the transfer

TimeToRebuild

I get the impression your husband and his family are not very bright people.

its as simple as this, if he goes bankrupt the OR will ask if your husband has any assets, he lies and says no, OR then finds out the the house was sold, asks where the money is, gets found guilty of fraud, goes to prison and everyone is paid from the 60k he has.....but now with a criminal record.

Tell him to be a man and pay what he owes from the money he clearly has!

Farmer_Johnson

I understand that love (or passion) can blind us to a person’s faults, but as others have said, run, don’t walk, away from this person.

They are planning or engaged in criminal acts to cheat people who they legitimately owe money to; do you honestly want to spend a life with a fraudster?

ToxtethO'Grady

Any sale of the house would be on the Land Registry, change of directors of companies is held by Companies House, both of these databases hold the dates of changes and who asked for them.


Your partners father is now liable for filing the companies accounts, any corporation tax etc. However your partner is disqualified as a director when BR and this includes acting in the capacity of a director, so your partner can’t simply transfer the directorship to his dad and continue running the company as before