The crashing of the Irish economy or the fall of the Celtic Tiger- call it what you will- left an awful number of people with insurmountable debts right across Ireland. But it wasn’t just property developers left high and dry by greedy, out-of-control bankers and government ministers “asleep at the wheel” but ordinary working people as well who found the value of their properties drop like a stone overnight.
With Irish bankruptcy and insolvency legislation making filing for bankruptcy in Ireland far too punitive, many took advantage of EU law and headed for the airport or the ferry to live in England and Wales and in some cases Scotland, so that they could rid themselves of their debts in short order under the UK bankruptcy laws. Bankruptcy laws that see debtors discharged and free of debt in just a year. The situation in Ireland is very different and extremely tricky.
It may on the face of it seem attractive but for many people it meant disrupting family life either through the upheaval of having them accompany the insolvent Irish debtor to live in the UK, or in some cases by the debtor living apart from his or her family for anywhere from 6 months to a year. It was therefore not a decision to be taken too lightly.
Not surprisingly, many headed for North Wales which permitted an easy route to and from “home” in Ireland via the Holyhead ferry. Others, in fact possibly more than anywhere else, headed for Liverpool- often called the capital of Ireland because of the vast numbers of residents hailing from the Emerald Isle.
The first pit stop after arriving from Ireland would have to be a Liverpool Insolvency Practitioner so that the insolvent Irish debtor could find out how the process of filing for bankruptcy in Liverpool works. The most important aspect of petitioning for bankruptcy as an EU national is to satisfy the COMI requirements. Establishing Liverpool as your centre of main interests has always been a critical step in going bankrupt. In summary to make Liverpool your COMI you must have lived there for the greater part of 6 months and only then are you entitled to a bankruptcy order in England.
Liverpool Insolvency Practitioners have helped very many people successfully establish their COMI there and getting fully prepared and set up with a new home, a source of income, bank accounts and a National Insurance number is essential to formalising and evidencing your COMI to the Liverpool County Court. Those who have been ill prepared have been sent running from the court with their tails between their legs, sometimes accused by the Judge of not realing living there.
Because of the absolutely critical importnance of a properly established COMI, Irish debtors need to ensure the insolvency practitioners in Liverpool that they seek advice from has experience of these types of cases. Therefore don’t be shy in asking about his or her credentials and enquire abou their first hand experience in dealing with previous cases. if you don’t you may find yourself as one of those irish debtors who has either been sent running from the court without a bankruptcy order or, in some cases, had their bankruptcy order annulled once the Official receiver has concluded that your claim of your COMI being in Liverpool is something of a deception.