Employer Gone Bankrupt - PLEASE HELP

Lucky_Lady_5

This post is for my auntie. I need some advise please asap.

My auntie has worked for the same company for 12 years. back in november they were told that the business was closing down and they would be made redundant on 31/12/07, with full redundancy entitlement. Sad, but at least she would have some money coming in until she got another job.

on 31/12/07, the owner of the business told them that unfortunatly he was going bankrupt and everything was in the hands of offiicial recievers and they would now only be entitled to the government statutory redundancy payments.

to cut a long story short, this "man" has set up business again from separate premises and we cannot find anything, anywhere to support his claim he has gone into recievership. he told them they would get their money this friday (today) or next friday from the government. obviously bull.

we just don't know what move to make now. does anyone have any advice? we have proof that this guy is still in business and all he has done is transfer business from 1 name to another.

what IF ANYTHING can be done? can anyone help?

Conor_3

Find a good solicitor. Might be worth contacting former workmates in the same boat.

LittleVoice

Was he operating as a sole trader or through a limited company?

If the limited company has gone into receivership then he could have obtained fresh funding for another venture - could even have bought assets from the previous company.

EmRayMarRhys

I'd contact the DTI about him setting up again. It may be nothing can be done, but it's worth a shot.
Your aunt can obtain a form from the official receiver to claim the redundancy from the government. Unfortunately this can take a number of weeks to come through.
You may find this site helpful

http://www.direct.gov.uk/en/Employment/Employees/RedundancyAndLeavingYourJob/DG_10026695

The government will pay one weeks' wages (up to a limit of £290 per week) per year of service, plus any holiday monies owed and notice pay.

Good luck with it, it's really unpleasant, DH was made redundant due to his former employers' inosolvency 2 years ago now.

CIS

If he was a Ltd company (most likely if he has set up again ) then this webiste http://wck2.companieshouse.gov.uk/a94957b764f740c8e923ab5d1b590c09/wcframe?name=accessCompanyInfo will show whats happening with the company.

djbd1973

Lucky_Lady wrote: »

This post is for my auntie. I need some advise please asap.

My auntie has worked for the same company for 12 years. back in november they were told that the business was closing down and they would be made redundant on 31/12/07, with full redundancy entitlement. Sad, but at least she would have some money coming in until she got another job.

on 31/12/07, the owner of the business told them that unfortunatly he was going bankrupt and everything was in the hands of offiicial recievers and they would now only be entitled to the government statutory redundancy payments.

to cut a long story short, this "man" has set up business again from separate premises and we cannot find anything, anywhere to support his claim he has gone into recievership. he told them they would get their money this friday (today) or next friday from the government. obviously bull.

we just don't know what move to make now. does anyone have any advice? we have proof that this guy is still in business and all he has done is transfer business from 1 name to another.

what IF ANYTHING can be done? can anyone help?

I would deal directly with the receiver as there may be assets in the company still. I don't know where your aunt stands regarding who gets paid first from assets within the company but speak to the liquidator to see if staff come before the bank regarding being paid out of assets (if any).

Other than that, I would talk to a solicitor through a citizens advice bureau to see what can be.

The money from the government would be 12x£290 if I am correct but the liquidator would be able to help.

Good luck

freemo1979

I have currently gone through something similar. If he has put the company into liquidation it's nonsense that you will get the money so soon... especially if you haven't had any contact from the official receiver.

When the receivers are appointed they should send you your P45 and an RP1 form (see link... http://www.insolvency.gov.uk/pdfs/rp1april2003.pdf)

You fill out the form and return it to the receivers. They will then send this off so you can claim money from the government. You should be entitled to 12 weeks wages at a maximum of £310 for redundancy.... could be slightly more or less depending on your aunties age and when she started working there (some useful info here http://www.dti.gov.uk/employment/employment-legislation/employment-guidance/page15686.html) It could take between 4 and 8 weeks to get this part of what you are owed.

You can also claim outstanding holiday pay (upto 6 weeks) and any outstanding wages or overtime and commission (upto 8 weeks)

Also...

As she has been there 12 years she is entitled by law to 12 weeks notice. If she was told in the middle of Nov and left at the end of dec then she has only had 6 weeks. Which means she should be entitled to 6 weeks NO NOTICE PAY at £310 a week maximum... you will get taxed on this and and any benefits she could claim ie job seekers will also be taken off as they expect you to claim that.
At the end of your notice period (12 weeks after you were informed of redundancy) you will receive an RP2 form to claim your no notice pay.

Most important thing is to find out who the official receiver is!!


I got made redundant on the 30th Nov, receiver was appointed on the 12th Dec and I got my forms through a couple of days before xmas.... gives you an idea of timescales.

djbd1973

Hi Lucky Lady,

Any news on your aunts situation?

Has she been in touch with the liquidator?

Lucky_Lady_5

hi all. sorry not been on for a while.
there is no news. cannot find out who the official reciever is. the guy is not answering any telephone calls. she is waiting to speak to solicitor later this week. she has put everything in writing as requested by solicitor, and has sent copies to him via recorded delivery.

we have done a little online research on this guy, and it's about the 5th time in the last 10 years that businesses he has been involved with have done this. turns out his wife is an accountant also, so she will know all the ways around things.
people like this monster should be taken to task.

Lucky_Lady_5

i have just looked on the companies house list, and the name of the company is there, but there is nothing there to say it has gone into liquidation or anything of the kind.
it says the company is still active, but there are no branches. well, that's right, there are no branches left because he has closed them all down.
now, would this be normal? i am getting an even bigger fishy aroma around this at the moment.

djbd1973

I would contact the Trade officer at the Council or get in touch with Watchdog perhaps.

I like your footnote especially as I am a happy hammer too!