Director pursued for alleged misfeasance and fraudulent trading

The liquidators of financial advisory firm Jones Hill Ltd are continuing negotiations over an approximately £87,600 claim against a former director, with the disputed recovery now the only matter keeping the three-year liquidation open.

Paul Palmer and Clive Morris of Marshall Peters said the claim arises from alleged misfeasance and fraudulent trading by the director, who has disputed the allegations throughout the proceedings. The liquidators have been liaising with the director’s solicitor in an effort to reach an amicable settlement and said negotiations remain ongoing.

The Wiltshire-based company entered creditors’ voluntary liquidation on 5 April 2023. Its statement of affairs showed debts of £157,733 owed to five unsecured creditors, although the liquidators have since received four claims totalling £69,518.72. There are no secured or preferential creditors.

The liquidators said they had reported the director’s conduct to the Department for Business and Trade in connection with the alleged misfeasance and fraudulent trading. Their report does not identify the director or provide further details of the underlying transactions.

The liquidators said they do not expect to declare a dividend to unsecured creditors. A return will depend on the outcome of the director claim, and the costs of pursuing that recovery will also have to be taken into account.

Read the liquidators’ report here.