Boris Becker punished for bankruptcy offences
Boris Becker was declared bankrupt in 2017 owing creditors almost £50 million. At the end of last month he was found guilty of:
- transferring hundreds of thousands of pounds from his business account after his bankruptcy;
- failing to declare his interest in a property in Germany; and
- concealing €825,000 of debt;
all of which constitute bankruptcy offences under the Insolvency Act 1986 (“IA 1986”).
The bankruptcy offences are found in the IA 1986 and include:
- failure to deliver up property to the Official Receiver or Trustee
- concealment of debt from the Official Receiver or Trustee
- failure to account for or explain loss of property
- concealment of records
- false statements
- destruction, mutilation and/or falsification of records, and
- absconding with property.
A person guilty of a bankruptcy offence is liable to imprisonment or a fine, or both.
When sentencing Becker to two and a half years in jail, Judge Deborah Taylor commented that he had shown no remorse or acceptance of guilt.
Dean Beale, the Chief Executive of the Insolvency Service said: “This conviction serves as a clear warning to those who think they can hide their assets and get away with it. You will be found out and prosecuted”.
For Becker it is a further fall from grace, the moral of the story being that no-one is above the law and that failure to provide full and honest disclosure to the Official Receiver (or a subsequently appointed Trustee) is likely to have serious repercussions for the offending individual.
If you require advice about any personal insolvency related issue, please do not hesitate to contact John Bradshaw or Sarah Mower of the Barker Gotelee Insolvency & Business Recovery Team for an informal confidential chat.
Sarah Mower is a chartered legal executive and specialist in Insolvency & Business Recovery at Barker Gotelee Solicitors.