Business Bankrupt

[adamnichols45]

Something on tv.

How do we stand regarding this in the UK.

If a company Takes my money and does not deliver the product then they go bankrupt where do I stand?

Where do they stand?

[topr8]

you stand:
you are in the list of people who will get a pay out from the company's assets, should there be any, unfortunately you are not at the top of the list, the banks and so forth normally are in that position, your outlook is bleak.

they stand:
all their assets are (effectively) liquidated and distributed to the creditors, some creditors are a higher priority than others. directors of the company are not allowed to be directors of further companies for a while.

[adamnichols45]

But companys that know they are going bankrupt and take the money out of there account and leave no money and little assets.

Whats happens then?

There was a company in the UK that did this and it was big big news.

your views...

[topr8]

oh i see, well i imagine that would be fraud, the administrator that is appointed to wind up the company would involve the police i imagine.

i'm in the uk i don't remember this news story.

[engine]

If there is evidence of the "fraud" you should bring it to the authorities' attention.

As topr8 has indicated, the Tax Authorities are at the top of the list and folks like you and me are right at the bottom.

If there are goods, assets, etc., you may have the opportunity to pick them up at a knock-down price.

Either way, if there is little or no money left, and the company has in effect closed, just move on and put it down to experience.

[Murdoch]

I have a feeling this is what is going to happen with me.

It's been a week since I put in for a withdrawal back to my bank account.

[edited by: engine at 11:06 pm (utc) on Jan. 24, 2007]
[edit reason] No company names, thanks. [/edit]

[lgn1]

Did you pay for the goods and service by credit card?

Despite the company going bankrupt, you can still do the chargeback, for non-delivery of goods and services.

Let the merchant bank of the credit card processor, stand in line for their money, not you.

Thats why you should pay for everything by credit card.