Fraudulent trading and personal liability: officers and partners may be held personally and jointly liable to liquidator. Application under rule 225 alleges the LLP carried on business with intent to defraud creditors and that named partners or officers knowingly participated. It seeks declarations of fraudulent trading, that those respondents be personally and without limitation liable for debts incurred in the period, that they be jointly and severally liable to pay sums to the Liquidator, an order creating a first charge on specified assets or securities to secure that liability, and an order for costs and other relief the Tribunal considers fit.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Fraudulent trading and personal liability: officers and partners may be held personally and jointly liable to liquidator.
Application under rule 225 alleges the LLP carried on business with intent to defraud creditors and that named partners or officers knowingly participated. It seeks declarations of fraudulent trading, that those respondents be personally and without limitation liable for debts incurred in the period, that they be jointly and severally liable to pay sums to the Liquidator, an order creating a first charge on specified assets or securities to secure that liability, and an order for costs and other relief the Tribunal considers fit.
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