"A lawyer with his briefcase can steal more than a hundred men with guns" Tom Hagen in The Godfather
It is amazing to me that this is legal but it is - add "accountant with his spreadsheet" to the above
From Wikipedia "Pre-pack Administration is an arrangement under which the sale of all or part of a company’s business or assets is negotiated with a purchaser prior to the appointment of an administrator, and the administrator effects the sale immediately on, or shortly after, his appointment"
The difference between a pre-pack sale and a normal sale is that in a normal sale the administrator markets the business and negotiates the terms of the sale after his appointment.
With a pre-pack the directors can put the company into administration, screw all the creditors and landlords and emerge 5 minutes later owning the whole shebang having eliminated all the debtors. What's not to like?
This is legal to protect the employees - otherwise the whole thing may go down the plughole
Bob Cory
Modified on 11/09/2019 at 08:13:39 by ℗ Bob Cory