HMRC v Maxwell; HMRC v Klempka

In HMRC v Maxwell; HMRC v Klempka (CA – 7 December) a company (M) went into administration in September 2009. The administrators subsequently submitted proposals to the company’s creditors including HMRC. HMRC opposed the proposals. However the administrator (K) who acted as chairman at the creditors’ meeting ruled that HMRC only ranked as a creditor to the extent of £1 500 000 with the result that the proposals were carried. HMRC appealed to the CA contending that K should have accepted them as creditors for more than £8 000 000 with the result that the proposals should have been defeated. The CA unanimously accepted this contention allowed HMRC’s appeal and ordered that the administrators should summon a further meeting of creditors. Lord Neuberger MR observed that HMRC had ‘serious concerns’ about the conduct of M’s directors...