Mohammad Razi Khan v Arvinder Singh-Sall & Anor
[2023] EWCA Civ 1119
Mohammed Kamal Ahmed v Elias Hussain & Anor
21 March 2023
[2023] EWHC 593 (Ch)
High Court
Someone went bankrupt. They tried to get the bankruptcy order cancelled because their lawyer forgot to show the judge some important documents about money they could use to pay their debts. But even with that money, they still owed a lot, so the judge refused to cancel the bankruptcy.
Key Facts
- •Bankruptcy order made against Mohammed Kamal Ahmed (Debtor) on 24 May 2021 based on a petition by Elias Hussain (Petitioner) for £391,629.39.
- •Petition based on judgment debts and a statutory demand dismissed on 10 December 2019.
- •Multiple adjournments granted for property sales and security provision by Debtor's brother (DNA).
- •Debtor claims that updated security documents (CH1 forms) were sent but not considered by the court during the final hearing.
- •Petitioner's solicitor admits to an innocent error of not including the updated CH1s in the hearing bundle.
- •Sales of properties yielded £340,154.50, leaving a significant shortfall even if the entirety was applied to the debt.
- •Debtor raised the issue of the updated CH1s at the hearing but conceded a shortfall.
- •Petitioner held additional security via charging orders but still a substantial shortfall remained.
Legal Principles
Court's discretionary power to review, rescind, or vary a bankruptcy order under exceptional circumstances or if a material difference exists.
Insolvency Act 1986, s375(1)
Outcomes
Application to rescind the bankruptcy order dismissed.
No exceptional circumstances; innocent errors did not materially affect the outcome; significant shortfall remained even considering the additional security.
Application for adjournment dismissed.
No good purpose served; application without merit.
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