Independent body should review IPs' fees
Debt collector calls for a new body to watch over fees charged by insolvency practitioners
AN INDEPENDENT BODY should be created to review the fees charged by insolvency practitioners, according to debt recovery business Daniels Silverman.
The firm saw “regular instances” of poor service provided by insolvency practitioners to its clients owed funds by insolvent individuals and businesses, reported CPI Financial.
“Often when a business goes bust any dividends received by unsecured creditors (if there are any) are lower than they should be as a result of high IP fees and assets being sold under value, or because action is taken by IPs to favour the secured creditors,” said Daniels Silverman MD Carole Hughes.
The government is reviewing the governance of the insolvency profession.