Reply to: Edward Carter solutions ceased trading

[Ken Russell]

Edward Carter

Yes, I think we are arriving at the same point... there will be sweet FA left. Bank will take the credit balance of the accounts against their charge, the proceeds of property will be lost against the charge on it (but who's buying commercial property in this market!?). Then the admin will mop up the rest.

(fortunately, I'm clear of ECS and not owed anything!)

M

They have gone into Creditors Voluntary Liquidation, and as observed there are 2 charges against them. My colleagues and I are resigned to not seeing any of our money.

My understanding is that the liquidators are aware of our status and that we are owed money.

From what I understand many agencies run such that contractors always get paid, regardless of the situation of the agency, its just unfortunate that in this case they were robbing us to pay the banks. Such is the price of capitalism !

Should anything more unfold I'll add it to this thread...after all I havent got anything else to do !

Ken

[mjcp]

Clause 16 is designed to help the bank not you. Ignore it and remember that the only money you will see is what's left after the administrator has spent everything he can vaguely justify from what's left (which as Tarbera says will be nothing or as near as).

Yes, I think we are arriving at the same point... there will be sweet FA left. Bank will take the credit balance of the accounts against their charge, the proceeds of property will be lost against the charge on it (but who's buying commercial property in this market!?). Then the admin will mop up the rest.

(fortunately, I'm clear of ECS and not owed anything!)

M

[eek]

That was my question:

If the bank uses funds on deposit against their charge, then there are no funds for the receivers (or creditors).

Much like if you go personally bankrupt: Trustee takes control of all assets but the the mortgage company (and any other charge holders) gets 1st dibs on proceeds of the house sale before the trustee and other creditors get their share of proceeds.

M

Clause 16 is designed to help the bank not you. Ignore it and remember that the only money you will see is what's left after the administrator has spent everything he can vaguely justify from what's left (which as Tarbera says will be nothing or as near as).

[mjcp]

Fantasy again

The company is not trading as they have no money

Administrators will Hoover up any scraps left


Sent from my iPhone using Contractor UK Forum

That was my question:

If the bank uses funds on deposit against their charge, then there are no funds for the receivers (or creditors).

Much like if you go personally bankrupt: Trustee takes control of all assets but the the mortgage company (and any other charge holders) gets 1st dibs on proceeds of the house sale before the trustee and other creditors get their share of proceeds.

M

[GhostofTarbera]

There are two active charges in place.

Clause 16 of the Barclays charge allows for the bank to set off any credit balances against the charge. Not sure if that puts them at the top of the table for recovering funds ahead of other creditors? Not idea for you if that's the case!

Linky -> Companies House

M

Fantasy again

The company is not trading as they have no money

Administrators will Hoover up any scraps left


Sent from my iPhone using Contractor UK Forum

[mjcp]

There are two active charges in place.

Clause 16 of the Barclays charge allows for the bank to set off any credit balances against the charge. Not sure if that puts them at the top of the table for recovering funds ahead of other creditors? Not idea for you if that's the case!

Linky -> Companies House

M

[mjcp]

Another, more serious, thought occurs: I assume you were on Self billing terms?

The receivers/administrators/Insolvency Practitioners (have they shut down, been wound up or go into administration/receivership etc?) will have no idea that you are a creditor until the self bill invoice is created. I recall that only happened the day or day before they paid out to the PSC.

Theoretically, there could be a lot of assets (outstanding invoices to Client Co) and very few creditors (PSCs with unpaid self bill invoices). They might make it a song and dance to get your claim in (its in their interest to minimise the pay outs!)... not sure if they have to accept a change from Self bill to invoice terms AFTER the date of closure or if you can invoice after that date anyway!

M

[mjcp]

they have been invoiced but have not yet paid them, thats the gutting thing as I know the money owed will be paid to them and then go to the other creditors before us ! (5 of us involved via the one client company)

Perhaps... your timesheet(s) were incorrect? As an honest and just type of person, you should contact Client Co and offer to amend them asap... Thus the invoice needs to be amended too. Client Co should then give you a "well done" fee.

M

[Ken Russell]

Talk to client co... they *might* not have been invoiced by ECS yet, there *might* be a way to do it direct?

M

they have been invoiced but have not yet paid them, thats the gutting thing as I know the money owed will be paid to them and then go to the other creditors before us ! (5 of us involved via the one client company)

[mjcp]

Unfortunately I have finished the contract, stopped being paid as soon as i finished !!

Talk to client co... they *might* not have been invoiced by ECS yet, there *might* be a way to do it direct?

M

[Ken Russell]

Unfortunately I have finished the contract, stopped being paid as soon as i finished !!

Pity it’s only been mentioned on here about 4,000 times

Expect 2p (at most) from any £1 owed you

At least you can work direct with client now, or switch agencies ?


Sent from my iPhone using Contractor UK Forum

[GhostofTarbera]

Givcen i just had to google that...what do you think !!

Pity it’s only been mentioned on here about 4,000 times

Expect 2p (at most) from any £1 owed you

At least you can work direct with client now, or switch agencies ?


Sent from my iPhone using Contractor UK Forum

[mjcp]

Can't say I'm *that* surprised.

Was through them for 2 years. Started all ok, couple of people left and the the ones who stayed always seems a little on the back foot with regards renewals. Had to chase payments a couple of times near the end (pre Covid) but resolved within a day or two.

Then a month or so ago, had an email out of the blue from an accounts person. They'd been compromised and their OneDrive/SharePoint was being used to phish the contact list.

M

[Ken Russell]

re ipse+

Givcen i just had to google that...what do you think !!

[northernladuk]

You got IPSE+ cover?