The UK Supreme Court recently handed down a judgment in Tradition Financial Services Ltd v Bilta (UK) Ltd & Others[1] in which it considered the scope of section 213 of the Insolvency Act 1986, specifically whether those beyond the small group of individuals with controlling or managerial functions of the liquidated company could be ‘party to’ the carrying on of a company’s business with intent to defraud creditors.
The Supreme Court has helpfully confirmed that section 213 is not restricted to those individuals with controlling or managerial functions but may extend to third parties. This is an instructive decision for those seeking to recover funds in the event of an insolvency from potentially fraudulent third…
