resigning as a director

A

ajja

Guest
Unfortunately my company ran into difficulties owing money to the bank. I put the company into liquidation but should I now resign from this liquidated company as a director or has this automatically happened when the company became a "company in liquidation"
Thanks for your help.
 
When a liquidator is appointed he writes to the existing directors and advises them that they no longer are permitted to act in any shape or form on behalf of the company. You are therefore no longer a director.
 
Thanks for that. I did indeed receive this letter telling mt this but nowhere in the letter did it actually say that I was no longer a director. Also I am receiving letters from the bank addressed to myself (Director) of the named company in Liquidation. This has lead to my question. What do you think?
 
You are still a director of the company but have no powers (this is what was said in the letter from the liquidator).

The liquidator should have arranged for all company post to be redirected to their office!

Are you receiving correspondence from the bank because of loans the directors personally guarnteed!
 
Yes we do have personal guarantees. The bank are owed more than the personal guarantee is for. Whereas I am willing to deal with them for this amount, they seem to be threatening to come after me personally for the total amount owed to them by the liquidated company, which is nearly twice the amount of the personal guarantee. Is this within their rights?
Also as it does seem that I am still a director of this liquidated company, should I, or indeed am I allowed to, resign as a director?
Thanks again.
 
You cannot resign as the company is in liquidation.

I dont believe they are able to go after you for more than was personally guaranteed they should be looking to the liquidator to discharge this amount!
 
Thats what i would have thought myself but if that is the case, why would they even bother if they know it is a lost cause?
 
ajja said:
Thats what i would have thought myself but if that is the case, why would they even bother if they know it is a lost cause?
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Because they can.

They may threaten bankruptcy preceedings.

Refer all matters of pursuance to the liquidator.

Obtain some good legal advice on your situation.

HTH

ONQ.
 
ajja said:
Thats what i would have thought myself but if that is the case, why would they even bother if they know it is a lost cause?
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Contact the bank and find out what is going on. What position are you in to repay what is guaranteed.
 
I infer from your second post in this thread that the bank has been writing to you in your capacity as director. Anything written to you in that capacity should be passed to the liquidator, because all directors' powers are now vested in the liquidator.

If the bank writes to you in your capacity as loan guarantor, then it's a different problem. How it should be handled depends on the particular circumstances, but I think it would almost certainly make sense to discuss the matter with the liquidator. You would need to clarify how much, if any, of your personal guarantee might be called on (you do seem to think that the full amount will be required, and I suppose that you have a good idea of the facts).

Don't get hung up on the question of resigning your directorship: it's not really an issue.
 
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