Member - facing insolvency
Insolvency is a highly specialised field which is subject to a raft of legislation and regulations. There are differences between the laws in England & Wales, Scotland, and Northern Ireland both in personal insolvency and in corporate insolvency.
If you personally are, or your company is, experiencing financial difficulties you should seek professional advice from an Insolvency Practitioner or from a specialist lawyer. You can find an Insolvency Practitioner near you by search our CA directory here.
Are you bankrupt or facing insolvency?
Where a Member or ICAS student becomes personally insolvent (signs a Trust Deed, is sequestrated, is subject to an individual voluntary arrangement, - is made bankrupt or enters into a debt arrangement scheme (DAS) there can be serious consequences in terms of continued membership or eligibility for membership of the Institute. Insolvency affects your ability to continue to act as a company director and it will affect your credit rating.
In terms of Rule 3.13 of the Institute's Rules where a Member or Affiliate enters any form of statutory or non-statutory arrangement for the purpose of management and repayment of the Member's or Affiliate's debts to creditors, he shall cease to be a Member on the expiry of fourteen days after that event unless he has submitted an application to Council for and been granted an extension of the time period to be retained in membership. The Investigation and Professional Conduct Enforcement Committee (IPCEC) will assess each case on its own merits. You can access details of Rule 3.13 here
If you are facing personal insolvency you should speak to an Insolvency Practitioner as soon as possible and if you go down the insolvency route you should not delay contacting the Institute.
Basic information is provided on the different types of personal and corporate insolvency procedures and support is available for those who find themselves out of work.
You can access information on this site by following the links:
Out of work? Access guidance and assistance through our Professional Development section.