Concert Company Liquidation

[Yngwie]

I see the liquidator has filed his final report with Companies House. It states that according to the concert company’s records there were 27 creditors owed a total of £428,000. Of those, only 5 lodged claims with the liquidator totalling £33,000. Difference is likely because most creditors didn’t see the point filling in the form when there was little prospect of a dividend. The report also confirms that no dividend is being paid as there are no funds left after paying liquidation expenses.

Unfortunately there is nothing in the public domain that lists the creditors and amounts due to each of them. I would have been interested to see how much was owed to the artistes and their management etc (which I suspect would be the largest amounts) and how much impact there was on local businesses.

My understanding is that in a CVL the liquidator is supposed to have filed a Statement of Affairs that would have detailed all this and I can’t know why that hasn’t happened other than an oversight on his part? The statement of affairs should also have been sent out to the creditors.

[old caley girl]

I understand (but may be wrong) the artists were paid upfront before performing? 

 

[Yngwie]

I’m sure they would get an upfront payment, whether it is the full fee or not I don’t know.

[+DoofersDad]

8 hours ago, Yngwie said:

My understanding is that in a CVL the liquidator is supposed to have filed a Statement of Affairs that would have detailed all this and I can’t know why that hasn’t happened other than an oversight on his part? The statement of affairs should also have been sent out to the creditors.

Maybe he's not documented it because there is no money left to pay him for doing the extra work.

It must be absolutely galling for the the creditors to be told there is no money to pay them for the work they did, when the lead director of the Concert Company continues to put money into the football club and, presumably, make money with his other business interests.  It might be legal, but it ain't right.  It certainly isn't a good way to get the wider Inverness business community behind the club.

[Yngwie]

Yes, but limited liability is a fundamental feature of company law, and the creditors themselves will nearly all be trading through limited companies in order to protect their other assets (house, savings, other business interests etc), so they shouldn’t feel too aggrieved when someone else does the same.