If your firm has been subject to a recent Insolvency Monitoring visit we would welcome your feedback using the feedback form below available in the members section.
FAQs
We are often asked the same questions regarding Insolvency, here are some of the more common questions and their answer.
How is ICAS involved in Insolvency
As a Recognised Professional Body (RPB), ICAS has the power to issue, renew and withdraw insolvency permits from members. It also helps to influence both new legislation and best practice by lobbying the Scottish Government and the British Government.
What does an Insolvency Practitioner (IP) do?
In addition to carrying out formal insolvency procedures, eg liquidations and sequestrations, IPs are uniquely well qualified to advise people and businesses in financial difficulties and in so doing, the IP affects the lives, prospects and livelihoods of both creditors and debtors.
How does a member apply to become an IP?
Before applying for a permit, members must hold a current Practising Certificate , have passed the Joint Insolvency Examination (or a equivalent EU professional qualification) and satisfy the ICAS Insolvency Permit Committee that they have the required knowledge and experience in insolvency practice to hold an insolvency permit.
How are IPs regulated?
IPs must apply annually for an insolvency permit and must satisfy the ICAS Insolvency Permit Committee that they continue to meet the required criteria. IPs are monitored every 3 years to ensure compliance with the required standards of practice.
What is the complaints process against IPs?
All complaints should be made in writing. The complaint should detail the pertinent issues as comprehensively as possible and copies of relevant documentation should be provided. ICAS takes complaints seriously and will deal with them fully but it cannot interfere in the insolvency process. The complainant should write to the Head of Investigations in the first instance.
Complaints should be made in writing and sent with supporting documents to:
Investigations Department
The Institute of Chartered Accountants of Scotland
CA House, 21 Haymarket Yards
EDINBURGH EH12 5BH
E-mail: legalservices@icas.org.uk
How can people get free advice on being in debt?
Local Council sponsored Money Advisers and the Citizens Advice Bureaux are excellent starting places for anyone who is struggling to make ends meet and wants impartial advice. Alternatively they could contact an IP for initial advice, which is normally free of charge.
What is sequestration?
Sequestration is the Scottish legal term for personal bankruptcy. This is a formal procedure which starts when someone in debt is sequestrated by the Accountant in Bankruptcy. The person who administers a sequestration is called the Trustee. A Trustee can either be an insolvency practitioner or the Accountant in Bankruptcy.
What are Trust Deeds?
A Trust Deed, a less formal procedure, it is a contract signed by a debtor by which he or she conveys his or her estate to a licensed IP who is appointed Trustee to realise the debtor's assets for the benefit of creditors.