© The Campaign for Regulation of Asset Based Finance. All views expressed are the opinion of the campaign except where specifically stated.
This campaign is not supported by or linked in any way to the asset based finance industry.
The Campaign for Regulation of Asset Based Finance
The working group was originally charged with looking at reforms that are required to break the potentially incestuous relationship between asset based finance companies and their ability to appoint their own administrators appearing to do so at the expense of keeping viable companies trading, the employees and unsecured creditors (HMRC).
The group has being charged with reviewing their terms of reference to looking at widening their initial remit.
With the present system, in principle, a creditors' committee is supposed to oversee the insolvency practitioners' work, but many creditors are busy looking for other sources of revenue and cannot invigilate the practitioners.
All insolvency work is handled by 1,600 licensed practitioners, mostly working in accountancy firms. The practitioners are regulated by accountancy and law professional bodies, which have no independence from the firms they regulate. The complaints rate has soared significantly in some cases, but hardly anyone is banned or investigated.
There is no independent complaints investigation procedure or independent ombudsman to adjudicate on malpractices. No questions are asked about exorbitant fees, or excessive delays. Again there appears to be no "duty of care" to anyone affected by their failures. This edifice is overseen by the .
If you wish to contribute or get involved with this working group please contact:
Campaign for Regulation of Asset Based Finance
63, Rothwell Road
Newcastle upon Tyne
Or email email@example.com