|
|
10 Apr 2008
Moves to open up insolvency methods called debt relief orders will mean individuals could begin bankruptcy proceedings for themselves or others online. There are concerns individuals may use the scheme against people they have a grudge against.
Mike Gerrard, insolvency partner at Grant Thornton, believes people may ‘get sloshed’ and think it is a ‘good idea to start bankruptcy proceedings’. ‘One of my concerns is that you don’t have to go to court, you could actually make someone like your old headmaster bankrupt. No-one will know until they receive a letter,’ he said.
Although the policy will reduce the burden on courts and costs the debtor £100 compared to the current £500 to file proceedings, there is a fear that personal insolvency will be taken too lightly.
The Insolvency Service is currently working on the plans, expected to be introduced in April 2009.
You may also like
Search thousands of financial jobs:
Search thousands of financial jobs:
Careers
Search for jobs
Click to search our database of all the latest accountancy roles
Create a profile
Click to set up your profile and let the best recruiters find you
Jobs by email
Sign up to receive regular updates with the latest roles suitable for you
Briefings
By looking at the reasons supplier statements became unfashionable, and the reasons why it is different today, this paper delves into the many benefits that can be obtained by automating the process.
Having a real and true view of your organisation’s current financial position, and having the right systems and processes in place, will ensure that you can make strong choices and are ready to capitalise on opportunities
AccountancyAgeInsight is a frequently updated resource centre for finance professionals, offering a free and easy-to-use digital library of briefings, white papers and other information resources. 
Visitor comments Add your comment