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Carillion liquidator files £1bn claim against accountants

AsleepInYorkshire
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Carillion liquidator files £1bn claim against accountants

#460238

Postby AsleepInYorkshire » November 23rd, 2021, 8:54 am

Carillion liquidator files £1bn claim against accountants

The Official Receiver is understood to be advancing a legal claim against auditors of collapsed contractor Carillion that could target as much as £1bn in damages.

Sky News said the liquidators filed the claim on Friday.


AiY

Alaric
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Re: Carillion liquidator files £1bn claim against accountants

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Postby Alaric » November 23rd, 2021, 1:47 pm

AsleepInYorkshire wrote:The Official Receiver is understood to be advancing a legal claim against auditors of collapsed contractor Carillion that could target as much as £1bn in damages.




The Official Receiver is understood to be pursuing £230m of losses in the form of dividends it claims should never have been paid out by Carillion as it headed towards financial failure


Shareholders were left with net assets of £ nil but had the dividends as some form of compensation. The net worth of Carillion was in effect stated as minus £7 billion . Limited liability capped the shareholder's exposure to this a £ nil. .

The contractor went bust in January 2018 owing nearly £7bn.


That's an awful lot to hide away by creative accounting.


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