Once the labour procedure has been finalised with the usual court order declaration of insolvency, is there another way out?
My response can’t be anything other than yes, that there do exist alternative ways of recovering debt.
And, as always, these routes for recovery will depend on the actions the debtor has carried out during insolvency proceedings
On the one hand, there is the commercial route. The company owner, faced with the impossibility of being able to pay his debtors, should, according to commercial legislation, balance the company assets and continue his business activity facing up to his debts, proceed with the tidy liquidation of the company in order to pay the debtors with company assets, or come to an arrangement with the creditors. Failing that, he has to submit his own assets.
There are assumptions where the owner believes himself to be immune to not making his own assets available. And this situation opens up a penal avenue to claim credit. This situation happens when the company owner decides to take on a big risk, and by not complying with previously mentioned commercial legislation, tries to continue in the marketplace ignoring his creditors in different ways, generally through means of intermediary companies. This action can lead to an insolvency offence and penal proceedings with serious consequences not only economic ones.
Study the best route; it can save costs and ensure recovery. Don’t discount anything
