BusinessBusiness RecoveryHigh Court judge warns against bankruptcy proposals

High Court judge warns against bankruptcy proposals

Stephen Baister warns that government's bankruptcy proposals will fail to remove cost from the process, and has serious implications for the judiciary process

A HIGH COURT insolvency judge has warned that government proposals to introduce a new adjudication system for bankruptcies will fail as a cost-cutting exercise and will strip away the independent judgments that would have been made by the courts.

In an opinion article for Accountancy Age, chief bankruptcy registrar of the High Court Stephen Baister said that proposals to place more responsibility on creditors to warn debtors that they could be made insolvent, plus replacing the courts with an Insolvency Service-based adjudicator – would fail to deal with the disputes that arise between the parties.

“Such matters require the attention of a real judge. The online proceedings will also be secret. There will be no public scrutiny, and presumably there will be no proper judgment,” stated judge Baister in his article.

His article came in response to an earlier piece from Insolvency Service policy director Nick Howard, also published in Accountancy Age.

Related Articles

Toys R Us UK and Maplin enter into administration after failing to secure buyers

Business Recovery Toys R Us UK and Maplin enter into administration after failing to secure buyers

3m Alia Shoaib, Reporter
How to avoid a Carillion collapse

Business Recovery How to avoid a Carillion collapse

4m Russell-Cooke
Carillion collapse: The week so far and industry reaction

Business Recovery Carillion collapse: The week so far and industry reaction

4m Emma Smith, Managing Editor
Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

Business Recovery Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

4m Emma Smith, Managing Editor
Carillion: PwC appointed as special managers – what happens now?

Business Recovery Carillion: PwC appointed as special managers – what happens now?

4m Emma Smith, Managing Editor
Investment firm acquires Avon Steel Company Limited

Business Recovery Investment firm acquires Avon Steel Company Limited

6m Emma Smith, Managing Editor
Manchester law firm enters into administration

Business Recovery Manchester law firm enters into administration

6m Emma Smith, Managing Editor
KPMG appoints new global head of insolvency

Business Recovery KPMG appoints new global head of insolvency

6m Emma Smith, Managing Editor