We were approached by a liquidator about a potential unlawful dividend claim with limited time before the relevant limitation period expired.
We were approached by a liquidator about a potential unlawful dividend claim with limited time before the relevant limitation period expired. Within that time we reviewed the case, made an offer to purchase the claim and had issued proceedings.
We conducted a thorough investigatory process, which not only served to substantiate the unlawful dividend claim – but also identified serious wrongdoing in the form of fraudulent conduct by the former directors of the company.
It’s often thought that ‘smoking guns’ are a cliché – but in this case our internal team working alongside the liquidators found precisely that: a document proving that the liquidators had been provided with accounts which had been doctored ex-post facto. The document enabled us to re-perform the company’s audit and prove that certain documents were not contemporaneous.
Our analysis proved instrumental in securing a multi-million-pound settlement at mediation within a year of the original assignment. This settlement increased the dividend available to unsecured creditors by 20 times the originally anticipated level.
H&J secured the recovery of more than £7m pursuant to a judgment handed down on 5 January 2024.
