Barker v Baxendale-Walker

Barker v Baxendale-Walker

The court has jurisdiction under s.363 of the Insolvency Act 1986, or alternatively its inherent jurisdiction, to appoint Mr Leeds and Mr Hellard as joint trustees in bankruptcy in place of the Official Receiver, given their prior involvement, the risk of asset dissipation, non-cooperation by the bankrupt, and the interests of the creditors as a class. Adjournment was refused as no substantive reason was advanced and it would not serve the interests of justice. Permission to appeal was refused as there was no real prospect of success.

Parties
Petitioner/applicant: Iain Paul Barker; Bankrupt/respondent: Paul Baxendale-Walker; Creditor/interested Party: HMRC; Interested Parties/new Creditors: Burleigh House (PTC) Limited and Trustees of the Baxendale Walker MDP Trust
Jurisdiction
England and Wales
Judgment Date
01 August 2018
Procedural Posture
Bankruptcy/ Insolvency / Application to Vary Bankruptcy Order and Appoint Joint Trustees in Bankruptcy; Application for Adjournment and Permission to Appeal
Outcome
Application granted; adjournment and permission to appeal refused.
Legal Topics
Appointment of Trustees in Bankruptcy, Jurisdiction of Court Under Insolvency Act, Inherent Jurisdiction, Adjournment of Proceedings, Control of Bankruptcy Process
Insolvency Bankruptcy Company Law Appointment of Trustees in Bankruptcy Jurisdiction of Court Under Insolvency Act Inherent Jurisdiction Adjournment of Proceedings Control of Bankruptcy Process

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Parties

Iain Paul Barker

Petitioner/applicant

Paul Baxendale-Walker

Bankrupt/respondent

HMRC

Creditor/interested Party

Burleigh House (PTC) Limited and Trustees of the Baxendale Walker MDP Trust

Interested Parties/new Creditors

Procedural Posture

Bankruptcy/ Insolvency / Application to Vary Bankruptcy Order and Appoint Joint Trustees in Bankruptcy; Application for Adjournment and Permission to Appeal

Legal Issues

  1. 1 Whether the court has jurisdiction to appoint interim receivers as joint trustees in bankruptcy after the Official Receiver's automatic appointment under s.291A Insolvency Act 1986
  2. 2 Whether the bankruptcy order should be varied to appoint Mr Leeds and Mr Hellard as joint trustees
  3. 3 Whether an adjournment should be granted to allow new creditors to put in evidence

Ratio Decidendi

The court has jurisdiction under s.363 of the Insolvency Act 1986, or alternatively its inherent jurisdiction, to appoint Mr Leeds and Mr Hellard as joint trustees in bankruptcy in place of the Official Receiver, given their prior involvement, the risk of asset dissipation, non-cooperation by the bankrupt, and the interests of the creditors as a class. Adjournment was refused as no substantive reason was advanced and it would not serve the interests of justice. Permission to appeal was refused as there was no real prospect of success.

Court Disposition

Application granted; adjournment and permission to appeal refused.

Orders

  • Bankruptcy order varied to appoint Mr Leeds and Mr Hellard as joint trustees in bankruptcy in place of the Official Receiver, with immediate effect.
  • Abridgment of time for service of the application granted.