The ongoing battle between liquidators and auditors over the release of
client information has produced a mixed outcome in two recent court cases
involving some of the UK’s largest accounting firms.
In a court battle between Begbies Traynor, joint liquidators of The Accident
Group, and former auditors KPMG, the judge ruled that Begbies could have ‘almost
unfettered’ access to documents and emails relating to KPMG’s work for the
troubled claims company.
However, auditors BDO Stoy Hayward recently won a contrasting decision,
allowing the firm to withhold documents it produced while acting as auditor to a
company that went into liquidation seven years ago.
The liquidator to XL Communications Group, Elliot Harry Green, appealed
against a court ruling refusing him an order for the documents to be handed
Mr Justice Kitchin, sitting in the Chancery Division of the High Court, said
Green had failed to show why he needed the documents requested under section 236
of the Insolvency Act 1986.
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies
Smith & Williamson has been appointed administrators of charity 4Children