Email sent to Malcolm
Thank you for the information provided in respect to Dyserth Falls. We have spent a considerable amount of time researching the issues which all the consumers will face. At present it appears that the Inland Revenue have made a claim against the company, and that claim has resulted in a judgement for an undisclosed debt. That debt has not been paid and as such the Inland Revenue, have a judgement which the defendant is either unwilling or unable to pay the debt when due. As that hurdle has been passed they are entitled to present a winding up petition in the company’s court. The defendants Dyserth Falls are entitled to defend that petition so as to avoid insolvency. To comply with the insolvency rules, the Inland Revenue are obliged to advertise in the London Evening Gazette the action they are about to undertake. Once advertised interested parties are allowed to enter into the contentious arena so as to either support the petition or to contest it. It is our view that if the consumers support the Inland Revenue then the resort will be declared insolvent and the matter will be passed to an official receiver. At that point the official receiver will investigate whether or not there are any assets within the company. Invariably there are and as such the official receiver will appoint a liquidator who will be commissioned to sell off those assets to realize monies. Those monies will be distributed to the creditors.
In many cases after the liquidator has taken his fees, there are no remaining funds. If the consumers appoint the liquidator then they will have a controlling mind within the process and as such may gain substantial interest in the outcome of the liquidation. This could involve either obtaining the property which is entrusted to the company or gaining control of the underlying trust mechanisms and title deeds. If this occurred the entire resort would then become the property of the consumers. If this were to occur those consumers could either keep the resort for their own benefit or sell it and the proceeds of any sale would belong to those consumers.
To ensure that the consumer’s rights are maintained and enhanced, we are advised to tell you that consumers should be joining the petition and take the lead in the action on the 2nd March 2015.
To undertake this task each consumer will have to gather together there documents and send them to a firm who can collate those documents so as to provide the court with a court bundle. Once that court bundle is in existence that court bundle can be sent to a solicitor who can instruct a barrister so that the various issues can be addressed with the court at the date of the hearing.
In gathering together the court bundle we estimate that the cost involved will be about £200 per consumer, and then there will be fees of the solicitor and barrister representation. This in short is a numbers game and the more that join the cheaper it will become.
I have enclosed with this letter a copy of a constitution which each member would have to sign so that proper instructions can be given to the solicitors. The work the TCA has done so far is completely free as we are a free service, but if the matter is to advance to proceedings. Then we cannot be involved as the choice firmly rests with the consumers.
The consumer can of course do nothing and if the company is liquidated the resort will be sold to an industry company
Malcolm is one of your fellow Dyserth Falls consumers. He is collating information to assist all his fellow consumers in this plight. Please e mail him VIA the TCA so that you can be placed on a mailing list a rachael.orlos@timeshareconsumerassociation.org.uk
For more information regarding this article or assistance in any other timeshare related issues please contact the TCA on 01908 881058 or email: info@TimeshareConsumerAssociation.org.uk