IN THE MATTER OF MOSE KRAUS (IN BANKRUPTCY)

IN THE MATTER OF MOSE KRAUS (IN BANKRUPTCY)

Eurobeam and Mr Roth failed to engage constructively and only provided information after court proceedings were initiated. The Trustee was reasonably entitled to conclude that there was a serious risk of non-cooperation, justifying the s.366 application and joinder. Costs orders are warranted against Eurobeam and Mr Roth due to their obstructive conduct and public duty to assist the Trustee.

Parties
Applicant: Mr Robert William Leslie Horton; First Respondent: Eurobeam Services Ltd; Second Respondent: Bude Nathan Iwanier LLP; Third Respondent: Mr Boruch Roth
Jurisdiction
England and Wales
Judgment Date
01 February 2023
Procedural Posture
Bankruptcy Application Under S.366 Insolvency Act 1986 / Costs Determination Following S.366 Application and Joinder
Outcome
Costs orders granted against Eurobeam Services Ltd and Mr Roth in favour of the Trustee.
Legal Topics
Trustee's Powers, Costs Orders, Private Examination, Disclosure Obligations
Insolvency Bankruptcy Civil Procedure Trustee's Powers Costs Orders Private Examination Disclosure Obligations

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Parties

Mr Robert William Leslie Horton

Applicant

Eurobeam Services Ltd

First Respondent

Bude Nathan Iwanier LLP

Second Respondent

Mr Boruch Roth

Third Respondent

Procedural Posture

Bankruptcy Application Under S.366 Insolvency Act 1986 / Costs Determination Following S.366 Application and Joinder

Legal Issues

  1. 1 Whether Eurobeam Services Ltd and Mr Roth should pay the Trustee's costs of the s.366 application and joinder
  2. 2 Whether the Trustee was justified in pursuing the s.366 application
  3. 3 Whether the conduct of Eurobeam and Mr Roth warranted costs orders against them

Ratio Decidendi

Eurobeam and Mr Roth failed to engage constructively and only provided information after court proceedings were initiated. The Trustee was reasonably entitled to conclude that there was a serious risk of non-cooperation, justifying the s.366 application and joinder. Costs orders are warranted against Eurobeam and Mr Roth due to their obstructive conduct and public duty to assist the Trustee.

Court Disposition

Costs orders granted against Eurobeam Services Ltd and Mr Roth in favour of the Trustee.

Orders

  • Eurobeam Services Ltd to pay Trustee's costs of and occasioned by the s.366 application, including costs of the Joinder Application up to and including the hearing of 9 October 2018.
  • Mr Roth jointly and severally liable with Eurobeam for Trustee's costs of and occasioned by the Joinder Application up to and including the hearing of 9 October 2018, and solely liable for costs of and occasioned by the s.366 application from 9 October 2018 to April 2020.