ANYONE CAN HAVE OVERWHELMING DEBT
Insolvency Guardian Media Centre
Stay informed with the latest in insolvency news and industry updates. We can keep you up to date with insolvency and finance information from around the world.
The big four accountancy firm KPMG will on Wednesday announce the 400m sale of its UK restructuring arm, marking a further step in the professions preparation for tough new audit regulation.
Sky News has learnt that the new standalone company, which will comprise approximately 500 people, will be renamed Interpath Advisory.
Backed by HIG Europe, the private equity firm, it will immediately become the largest independent restructuring practice in the UK by number of employees.
The announcement will come just weeks after KPMG’s rival, Deloitte, sold its UK restructuring business to Teneo, a global strategic advisory firm…
Read the full article at: https://news.sky.com/story/kpmg-arm-to-be-renamed-interpath-in-400m-restructuring-deal-12233759
Regardless of your income or employment status, you may have too much debt to realistically pay off with a strategy like debt snowball. If all your monthly debt payments, including housing, total more than 50% of your monthly gross income, you may need to look into debt relief, like a debt management plan at a nonprofit credit counseling agency or bankruptcy.
The goal is to resolve your debt quickly and in a way that sets you up to meet future financial goals. Otherwise, you may spend years funneling money toward insurmountable debt, sacrificing retirement, an emergency fund and other goals.
Bankruptcy in particular may be a good option, as it can help you resolve what you owe in a matter of mon…
Read the full article at: https://wacotrib.com/lifestyles/millennial-money-3-debt-strategies-for-an-unequal-recovery/article_b386784d-c65c-54e6-bb21-4ce7a82d5058.html
The options open to landlords in Northern Ireland differ to those in England and Walesor in Scotland.These are addressed in our separate guides.
Restrictions on forfeiture for arrears in Northern Ireland have been extended to 31 March 2021 for all commercial leases under section 83 of the Coronavirus Act 2020. Restrictions on statutory demands and winding-up tenants have also been similarly extended under the Corporate Insolvency and Governance Act (CIGA) 2020.
This means that from 27 April 2020 to 31 March 2021, a landlord creditor cannot present a winding-up petition, unless it has reasonable grounds to believe that either coronavirus has not had a financial effect on the tenant company, or that the company was unable to pay its debts…
Read the full article at: https://www.pinsentmasons.com/out-law/guides/lease-arrears-options-landlords-northern-ireland
Queensland’s three-year run as the nation’s bankruptcy capital has continued with damning new figures revealing the significant number of people facing financial distress.
In the 2020 calendar year, 4458 personal bankruptcies were recorded in Queensland ahead of 4413 in NSW.
Victoria – which was locked down for four months – recorded 2724 personal insolvencies.
In Queensland Logan, Gold Coast, Ipswich and Moreton Bay South were the regions with the highest rates of personal insolvency.
The results continue Queensland’s run as the nation’s bankruptcy capital, however the number has steadily fallen across the state over the past five years.
Economist Marcus Smith said the number of personal bankruptcies remained a blight on Queensl…
Read the full article at: https://www.frasercoastchronicle.com.au/news/qlds-damning-bankruptcy-figures-the-worst-in-natio/4208207/
The key aspects of this new law are:
- Available for companies with liabilities under $A1 million.
- A moratorium from creditor actions (including personal guarantees) will occur following a resolution of the board/directors to appoint a Small Business Restructuring Practitioner (SBRP) to assist with the collation of a plan.
- Directors remain in control while they collate the plan with the assistance of the SBRP.
- The plan is circulated to creditors within 20 business days (4 weeks).
- The plan must include certain prescribed matters but can otherwise be in any format the directors determine and would be expected to involve a discount or delayed timing of any return to creditors. Consideration of the plan and expected return is likely to be co…
Read the full article at: https://bluenotes.anz.com/posts/2021/02/anz-legal-insolvency-law-business-covid19?adobe_mc=MCMID=91931573662167745648708078606479228630|MCORGID=67A216D751E567B20A490D4C@AdobeOrg|TS=1614704400
Czech Airlines insolvency petition sets out the scale of the companys financial problems, which it partly attributes to the inability to source rescue funding from the Czech government.
The company has 266 creditors, with the total liability to suppliers amounting to Kc809 million ($37.1 million) as of 25 February, its petition to a Prague municipal court states.
But the petition, seen by FlightGlobal, adds that there is a debt of nearly Kc1 billion to hundreds of thousands of passengers who are owed for the cancellation of flights.
[Czech Airlines] is unable to meet these obligations owing to a lack of liquid funds, the petition states, adding that the companys liabilities exceed the value of its assets.
For this reason the [company] i…
Read the full article at: https://www.flightglobal.com/airlines/czech-airlines-insolvency-petition-outlines-scale-of-financial-burden/142693.article
The multi-billion dollar financial empire built by Bundaberg farmer’s son Lex Greensill faces unravelling.
London-based Greensill Capital, founded by Mr Greensill a decade ago, has appointed Grant Thornton to look at restructuring options as it faces the possibility of filing for insolvency, according to people familiar with the company. The financial strife came after Credit Suisse Group suspended $10bn of investment funds.
The potential insolvency of Greensill Capital, which offers finance to allows businesses to extend the time they have to pay bills, would spell the end of a dream run for Mr Greensill, whose views of capitalism were forged growing up on a melon and cane farm where his parents often waited years to be paid.
The fami…
Read the full article at: https://www.gympietimes.com.au/news/bundy-billionaires-company-facing-insolvency/4207808/
MILAN (Reuters) – A revamped Alitalia will start with 45 planes, have around 4,500 workers and get just over 1 billion euros ($1.2 billion) in state support, less than half of what was previously envisaged, newspaper La Repubblica reported on Tuesday.
FILE PHOTO: An Alitalia Airbus A320-200 passenger aircraft takes off at Fiumicino International Airport in Rome, Italy, January 15, 2018. REUTERS/Max Rossi/File Photo Newly-appointed Prime Minister Mario Draghi met with the transport, economy, industry and labour ministers on Monday and was pushing for a speedy resolution but not at all costs, the paper said. The cabinet office declined to comment.
Under Draghis predecessor, Giuseppe Conte, Rome had earmarked 3 billio…
Read the full article at: https://www.reuters.com/article/us-alitalia-revamp-idUSKBN2AU0T8
LAS VEGAS & TORONTO–(BUSINESS WIRE)–Flower One Holdings Inc. (Flower One or the Company) (CSE: FONE) (OTCQX: FLOOF) (FSE: F11), a leading cannabis cultivator and producer in Nevada, today announces its intention to consummate a proposed restructuring transaction involving the convertible debentures (the March Debentures) issued by Flower One pursuant to the debenture indenture dated March 28, 2019 (the March Debenture Indenture) and the convertible debentures (the November Debentures, together with the March Debentures, the Debentures) issued by Flower One pursuant to the debenture indenture dated November 15, 2019 (as supplemented by the supplemental debenture indenture dated as of December 18, 2019, the November Debenture Indenture)…
Read the full article at: https://www.businesswire.com/news/home/20210302005453/en/Flower-One-Announces-Proposed-Restructuring-Transaction-Involving-Its-Convertible-Debentures
The past year has fractured our world in countless ways. Now, as people look to pick up the pieces, those managing debt need to account for their position in our uneven economic recovery.
In this so-called K-shaped recovery, one part of the population is rebounding quickly while another has a longer, slower path. For example, in January the unemployment rate for whites was 5.7%, compared to 8.6% for Hispanics and 9.2% for Black workers and 6.6% for Asians, according to the Bureau of Labor Statistics.
Those who remain unemployed or underemployed might continue to rely on debt to get by. Meanwhile, those whose finances have held steady or improved may be primed to wipe out debt.
MANAGING DEBT IN THE BOTTOM HALF
Some consumers have had no …
Read the full article at: https://www.startribune.com/millennial-money-3-debt-strategies-for-an-unequal-recovery/600029247/
Provisions of the insolvency law that protect a corporate debtor from other proceedings will also cover dishonoured cheques, the supreme court ruled, taking a view contrary to two earlier high court verdicts.Moratorium allowed under Section 14 of the Insolvency and Bankruptcy Code will apply to proceedings under Section 138 of the Negotiable Instruments Act used to recover an amount for a bounced cheque, the top court ruled. The top …
Provisions of the insolvency law that protect a corporate debtor from other proceedings will also cover dishonoured cheques, the supreme court ruled, taking a view contrary to two earlier high court verdicts.
Moratorium a…
Read the full article at: https://www.bloombergquint.com/law-and-policy/moratorium-under-insolvency-code-covers-cheque-bounce-cases-supreme-court
Greensill Capital has sought protection from Australias insolvency regime, as the finance group races to strike a rescue deal and another fund severed ties.
The company is hoping to invoke safe harbour protection in Australia, which shields directors from personal liability for a company trading while insolvent, according to people familiar with the matter.
Greensill specialises in supply chain finance, where businesses borrow money to pay their suppliers. It has been left scrambling after Credit Suisse on Monday suspended $10bn of funds linked to the firm, which counts former UK prime minister David Cameron as an adviser.
On Tuesday Swiss fund firm GAM said it would liquidate the $840m fund it co-managed with Greensill and end its fiv…
Read the full article at: https://www.ft.com/content/cbd575ab-a59d-436c-bb06-a6b85ed18af8