Yet another GT closure thread

[Foggy]

This is the post IVA Victim:

font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by g4vhn

I have received the following email. My interpretation of it is, they have been stalling all this time whilst they decided how they are going to go about things. Basically nothing has been done regarding closure while they decide and the have just been fobbing me off the whole time. This is the first mention of PPI to me.

By the way i know 100% i have no PPI claim as none of my credit has ever had it on, mis-sold of otherwise.


Good Afternoon Gavin,

Thank you for your email, I hope you are well.

I am writing to advise in order to gain an update on the progress of your closure you would be required to email our closures department direct at iva.closures@uk.gt.com.

I would however note a quite important matter which is having a serious impact on the closure process at present.
PPI is considered a "Contingent Asset" of an IVA as per legal advice we have recently sought on this matter. We wrote to all our clients to advise this asset must be investigated and introduced to the IVA for the benefit of all creditors where funds are available. Opting out of this process was previously an option as some clients may have been aware that PPI did not exist on any of their debts however as this is a constantly evolving process, this is no longer the case. We will only accept confirmation from your creditors that PPI was not present on any of your debts in order to ensure you fulfil your obligation in this regard.

As it currently stands we are still awaiting some further guidance to be issued from our regulators in respect of PPI however we must currently treat the asset as it would be treated in Bankruptcy and to that end all debtors are obliged to investigate a potential claim. Assets cannot be withheld from your creditors. Failure to investigate mis-sold PPI will be deemed a breach of your IVA and will result in an indefinite delay in the closure of your case as we can not clarify you have fulfilled all obligations with this unresolved matter.

In order to minimise disruption to our clients and the closure of their IVA, we are proposing to hold a Mass Variation meeting with all creditors across our entire case load requesting permission to close the case and treat PPI as a separate entity which will continue on post closure. If accepted by both the debtor and creditors this will allow the Certificate of Completion to be issued whilst the Supervisor still investigates all claims in respect of PPI. Funds would then be distributed to creditors post closure of the arrangement.

We expect to start issuing paperwork on this process in the next couple of weeks and it is imperative that you give this paperwork your urgent attention and return as soon as possible to ensure this process can be completed as quickly as possible as we are aware this PPI campaign has caused significant delay already for many of our clients. Should you not accept this meeting to take place on your arrangement then closure will be inevitably delayed while the PPI process completes in full.

Should you have any further queries please do not hesitate to contact Customer Services on 0844 855 2166.

Kind Regards

Claire

[Lil111]

The problem is the PPI company handling these don't even bother returning calls

[Foggy]

As long as the variation goes through they can do as they wish, as long as finishers get closure.

[GreenTrader]

Hi All,

I'm also in the same situation with Grant Thornton. I paid off my IVA in Jan 2012 and still no certificate or any signs of it coming. They blamed it on the VAT issue with the recent government changes but that got resolved in Aug 2012, then I'm informed it's compulsory to do the full PPI check with all creditors which I luckily did around June last year but still no result.

I'm sure there are ways to sue the company for incompetency. Trading standards must have a say? Surely as institute that is regulated by the FSA has to meet certain guidelines when it impacts so many people's lives??!!

[Foggy]

Hi GreenTrader. They are regulated by the IPA http://www.insolvency-practitioners.org ... ?pageID=39 -- but either no-one has complained to them as yet, or they don't see the problem.

[MelanieGiles]

The FSA will only deal with complaints which relate to pre-appointment work. If your complaint is about post-appointment issues - ie case closure, then you will need to contact the IP's regulatory body.

[johng990]

We entered into an IVA with Blair Endersby in 2009 however in 2011 things were still going badly and my business failed so we ended up petitioning for our own bankruptcy.... Everyone was made fully aware and we were told that this was not a problem. We went bankrupt in May 2011 and it was discharged in May 2012...... We were then told that that was the end of the matter and we were now free from any restrictions etc..... I logged onto the Insolvency Register and I was surprised to see that myself and my wife were still registered as having an IVA against us.... So we contacted the people that run the register to be told that we needed to be issued a certificate that the IVA was failed or finished..... My wife has called GT on several occasions to be told that it would be sorted out etc.... It still hasn't been sorted.... Why is this.??? When we went bankrupt we lost our house and our cars, we have nothing of any value left at all, no assets.... nothing..... Now we are being told that we need to fill out a form about PPI.... I am under the impression that everything is cleared by Bankruptcy so why are GT still trying to chase things that are no longer there.???? Everything has gone in the Bankruptcy, there are no creditors etc as they have all been cleared by the Bankruptcy.... We have not made ANY PAYMENTS at all to GT since 2011, that is over 2 years ago yet still they are keeping us on the register... why.??? Every bit of contact that has been made has been by us apart from a letter about PPI, we are trying and have been trying to get this sorted out for a long time but GT seem unwilling to assist us....This is causing my wife and I much distress, I have emailed and tried calling etc but nothing at all has been done to sort this.... What do I do now.??? I am getting nothing at all from GT

[MelanieGiles]

If the PPI was an asset which was captured by your IVA, then technically your former Supervisor may be entitled to pursue this for the benefit of the IVA creditors - as there may have been a continying trust which would survive the bankruptcy.

Have you ever been issued with a final report by GT, and if not then are they continuing to issue annual reports if the case is still open. Perhaps Karol Wilson will spot your post and be able to intervene for you?

And importantly, do you feel that you were actually mis-sold any PPI on any of the debts included into your IVA, or on debts which had been paid off prior to you entering into the IVA?

[johng990]

font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by MelanieGiles

If the PPI was an asset which was captured by your IVA, then technically your former Supervisor may be entitled to pursue this for the benefit of the IVA creditors - as there may have been a continying trust which would survive the bankruptcy.

Have you ever been issued with a final report by GT, and if not then are they continuing to issue annual reports if the case is still open. Perhaps Karol Wilson will spot your post and be able to intervene for you?

And importantly, do you feel that you were actually mis-sold any PPI on any of the debts included into your IVA, or on debts which had been paid off prior to you entering into the IVA?

As I said in the post we have had no contact with GT apart from what we have made ourselves, no reports, nothing at all apart from a letter a few days ago about PPI.... I have never had or been mis-sold PPI as I always refused it..... I can't get this sorted because I can never get anyone to answer their phone, I have sent 4 or 5 emails and all I have received back is an auto reply saying they have received the email and will deal with it but nothing ever comes back... I have even put Karol and IVA Forum in the title as advised on other posts.... Its shocking really how I have had no contact for the best part of 3 yrs, been bankrupt and discharged and still I am on the register as having an IVA. Is there anything else I can do to sort this out.????

[nickjohn]

font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by MelanieGiles

If the PPI was an asset which was captured by your IVA, then technically your former Supervisor may be entitled to pursue this for the benefit of the IVA creditors - as there may have been a continying trust which would survive the bankruptcy.

Have you ever been issued with a final report by GT, and if not then are they continuing to issue annual reports if the case is still open. Perhaps Karol Wilson will spot your post and be able to intervene for you?

And importantly, do you feel that you were actually mis-sold any PPI on any of the debts included into your IVA, or on debts which had been paid off prior to you entering into the IVA?

Hi Mel, I was of the understanding that as PPI was an asset, and your asset, then this would transfer, along with all your other assets, to the trustee of your bankruptcy. So how can the IP make a claim, as surely they would have to be acting with your agreement in making the claim and you are not allowed to give your agreement...

[MelanieGiles]

It is technically possible to have had an IVA, it not to have been closed, and in the meantime you declare yourself bankrupt and get discharged, but the IVA is still in place. Not all IVA terms allow for the IVA to fail on bankruptcy - so I suspect that your IP is still in office, although it is odd that you are not receiving annual reports.

If there us a continuing trust in the IVA, then this ringfences IVA assets for IVA creditors, so this would override the vesting powers of a Trustee in bankruptcy. An IP can make a claim directly to the creditor if they feel able to, as they are the ultimate beneficiary of the trust.

Hope this all makes sense - trust law can be confusing!

[nickjohn]

Is that why the IP must has to fail the IVA before you can go bankrupt.

[MelanieGiles]

Not necessarily - the IVA can only fail when all of the purposes set for the IVA have been concluded - unless the terms of the proposal specify otherwise.