Manchester company used as front for unlicensed insolvency activities is shut down
Company helped failing businesses avoid legitimate insolvency procedures
-
Manchester-based Davis Acquisitions Ltd worked with Save Consultants Ltd, a company shut down last year for offering unlicensed insolvency services
-
Davis Acquisitions Ltd was appointed director of 78 of Save Consultants Ltd’s client companies, acting as a vehicle to avoid formal insolvency procedures, asset recovery, and director conduct scrutiny
-
Insolvency Service investigations have resulted in Davis Acquisitions Ltd now being wound-up in the public interest
A Manchester-based company has been shut down after investigations revealed it was acting as a front to enable unlicensed insolvency activities previously carried out by another firm.
Davis Acquisitions Ltd became the director of 78 client companies previously associated with Save Consultants Ltd, allowing directors to transfer control and avoid formal insolvency proceedings.
Websites of both companies promised directors they could “leave their debts behind” and avoid “difficult insolvency proceedings” by selling their companies within 48 hours.
However, the services they were offering bypassed legitimate procedures that protect creditors and ensure proper scrutiny of director conduct.
Davis Acquisitions Ltd was wound-up at the High Court in Manchester on Tuesday 30 September.
Save Consultants Ltd entered liquidation last year after also being wound-up in the public interest following Insolvency Service investigations.
David Usher, Chief Investigator at the Insolvency Service, said:
Davis Acquisitions Ltd was acting as a front to help company directors avoid their responsibilities while harming creditors who were left unable to recover money owed to them.
The company completely failed to co-operate with our investigation and was deliberately undermining the proper insolvency processes that support people and businesses.
This behaviour undermines the integrity of the insolvency system and we have taken robust action to protect creditors and the public interest.
Davis Acquisitions Ltd was incorporated in March 2023 and initially claimed to be based on Ducie Street in Manchester, before changing its address to Moston Lane.
Investigations found that the company had used multiple addresses without permission, including a mail forwarding service that confirmed Davis Acquisitions Ltd had registered there without authorisation and failed to pay invoices.
The company’s telephone number was disconnected, and email addresses went unanswered despite repeated attempts to contact them.
Former directors of some of the 78 client companies confirmed they had dealt exclusively with Save Consultants Ltd, indicating that Davis Acquisitions Ltd acted solely as a front.
The Official Receiver has been appointed as liquidator of Davis Acquisitions Ltd.
All enquiries concerning the affairs of the company should be made to the Official Receiver of the Public Interest Unit: 16th Floor, 1 Westfield Avenue, Stratford, London, E20 1HZ. Email: piu.or@insolvency.gov.uk.
Insolvency work such as acting as a liquidator or an administrator for a company is regulated and can only be done by a licensed insolvency practitioner.
Individuals must pass the Joint Insolvency Examinations Board exams to qualify as a licensed insolvency practitioner. They must also meet certain requirements set out by the regulatory bodies, which include evidence of insolvency experience, fitness and propriety together with one or more references.
Further information
-
Davis Acquisitions Ltd (company number 14730975)
-
Save Consultants Ltd (company number 14621029)
-
The Insolvency Service can investigate complaints about corporate abuse by live companies. This may include serious misconduct, fraud, scams or dishonest practice in the way the company operates. Further information on our live investigations can be found here
About us
The Insolvency Service is a government agency that helps to deliver economic confidence by supporting those in financial distress, tackling financial wrongdoing and maximising returns to creditors.
The Insolvency Service is an executive agency, sponsored by the Department for Business and Trade.
Press Office
Journalists with enquiries can call the Insolvency Service Press Office on 0303 003 1743 or email press.office@insolvency.gov.uk (Monday to Friday, 9am to 5pm).
Out of hours
For any out of hours media enquiries, please contact the Department for Business and Trade (DBT) newsdesk on 020 7215 2000.