Bankrupcy and receiving money for tracker redress

michaelg

Frequent Poster
Messages
133
Can a bankrupt keep any money they receive as a tracker redress payment or does it have to go to the OA ? Even if its a very small amount .
Thanks
 
Last edited:

Jim Stafford

Frequent Poster
Messages
458
Technically, 100% of the redress amount should go to the OA, as the "breach of contract" claim existed at the beginning of the bankruptcy.

in respect of Compensation, the OA has adopted a
"fair
" approach and allocated 70% towards the "Personal Injury" component. Personal Injury proceeds belong to the bankrupt and not the OA.

if the breach of contract was the major contributory cause to a person's bankruptcy, then the compensation should reflect that. If the bank was your sole creditor, the big question then is why did you go bankrupt and not do a PIA? if your PIP advised you (and if he was correct in his advice!) that a PIA was unsustainable, then I could not see how you would be entitled to additional compensation.

Jim Stafford
 
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