Key Takeaway
New company reportedly quickly fell behind with promised repayments to administratorA recruitment executive who was allowed to buy back the assets of his bust company in instalments, despite it accumulating almost £3m of debt, has placed his new business into liquidation after falling behind with promised payments to the administrator. The news is the latest event to raise questions about…
Published August 30, 2026 · Category: News
Overview
New company reportedly quickly fell behind with promised repayments to administrator
A recruitment executive who was allowed to buy back the assets of his bust company in instalments, despite it accumulating almost £3m of debt, has placed his new business into liquidation after falling behind with promised payments to the administrator.
Details
The news is the latest event to raise questions about the practice of “phoenixism”, accounting’s controversial art of liquidating companies to allow directors to return with a new entity, free of debts.
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Source
Originally published at www.theguardian.com.
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Frequently Asked Questions
What is "Recruiter places ‘phoenix’ firm into liquidation just months after repurchase erased millions in debt" about?+
New company reportedly quickly fell behind with promised repayments to administratorA recruitment executive who was allowed to buy back the assets of his bust company in instalments, despite it accumulating almost £3m of debt, has placed his new business into liquidation after falling behind with promised payments to the administrator.The news is the latest event to raise questions about the practice of “phoenixism”, accounting’s controversial art of liquidating companies to allow directors to r
Who reported this story?+
This story was reported by The Guardian World.