Acting on behalf of the respondent to a claim under section 423 Insolvency Act, David McIlroy was successful in a contribution claim against the main shareholders of accountancy practice. The judge found that the transaction had been designed by the principal director to leave the creditors of the company high and dry, whilst lining his own pocket. The judge held that the shareholders were liable to contribute for the full value of the goodwill which was sold for £1, a sum yet to be quantified but expected to be in excess of £2 million.
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