In The Commissioners for Her Majesty’s Revenue and Customs v Amran Munir and others [2015], the directors and secretary of a company were sentenced by the High Court to a term of imprisonment for contempt of court.

Summary

Facts 

In John David Hedger (the Liquidator of Pro4Sport Ltd) v David Adams [2015], the Liquidator of Pro4Sport Ltd (Pro4Sport) made an application to the Court under section 212 of the Insolvency Act 1986. The claim arose out of one transaction which took place shortly before the liquidation of Pro4Sport on 20 July 2012. On 25 June 2012 Mr Adams, on behalf of Pro4Sport, transferred all, or practically all, of the assets of Pro4Sport to an associated company, Pro4Sport.co.uk Ltd (Pro4Sport.co.uk) for a deferred consideration of £47,000 plus VAT.

In Ferreira da Silva e Brito and others v Estado portuges (C-160/14) the European Court of Justice (the ECJ) considered the meaning of a "transfer of a business" under the Acquired Rights Directive (the Directive) in relation to a situation whereby a majority shareholder assumed significant functions of a former subsidiary, which had been wound up.

Background

A number of headlines following a recent high-profile professional negligence case suggest that there is no duty on a purchaser’s conveyancer to check a seller’s solvency. It is, of course, part of the normal pre-contract searches and enquiries to check on the solvency of the seller, and in the majority of cases, the property solicitor will become aware of the seller’s bankruptcy, as a notice or restriction on the title will show up on the official search of the registered title.  

Solvent

The English High Court in London Borough of Brent v Kane [2014] EWHC 4564 has held that legal advice taken in relation to various transactions which the claimant alleged had been made at an undervalue was not protected by privilege, as there was prima facie evidence that the purpose of the legal advice was to structure the transactions in order to allow the client to avoid or reduce the costs of a residential care home. 

Facts

The Bill introduces key changes to the Personal Insolvency Act 2012. These include a new provision allowing for an independent review by the Circuit Court, if creditors such as the mortgage lender refuse a borrower’s proposal for a Personal Insolvency Arrangement to deal with unsustainable debts which include a mortgage on the borrower’s home.

In the Matter of J.D Brian Limited (In Liquidation) T/A East Coast Print and Publicity, In the Matter of J.D. Brian Motors Limited (In Liquidation) T/A Belgard Motors and In the Matter of East Coast Car Parts Limited (In Liquidation) and In the Matter of the Companies Acts 1963 to 2009 (the Companies)

The EBA updated its Implementing Technical Standards (ITS) on supervisory reporting of liquidity coverage ratios (LCR) for EU credit institutions. The updated ITS includes new templates and instructions for credit institutions so as to ensure compliance with the European Commission's Delegated Act adopted in October 2014. In addition the ITS outline all the necessary steps needed for the calculation of the ratio. The amended ITS are only applicable to credit institutions and not to investment firms and will only become applicable following publication in the EU Official Journal.

The Department of Justice and Equality has announced that the Government is to introduce legislation before the summer recess giving Courts the power to review and, where appropriate, approve insolvency deals that have been rejected by banks. This process will represent a reform of the Personal Insolvency framework and "seeks to ensure that fair and sustainable deals are upheld for struggling borrowers willing to work their way out of difficulties with a view to keeping their family home."