Mortgage Times still not in administration

8 February 2010 | By Natalie Holt

The Mortgage Times Group has still not been placed in administration almost a month after it was claimed that an application had been made.
Mortgage Times staff were originally told by management that the network had been placed in administration on December 21.

HM Revenue & Customs also filed a winding-up petition back in November in relation to undisclosed debts owed to it by the network.

But at a hearing at the Royal Courts of Justice in London on January 13 it emerged that an application to appoint an administrator had only been made the previous day. At the time, the firm was given 21 days to pay its debts to HMRC.

The case was adjourned until February 3. Mortgage Times was granted a second adjournment last week and its deadline to pay was extended to February 17.

One source puts the figure owed to HMRC in the region of £485,000. An HMRC spokesman says the level of debt cannot be disclosed due to confidentiality considerations.

He says: “We only initiate winding-up action when we believe this is the best way to safeguard the interests of the Exchequer and the fairest thing for those who pay their tax on time. We do not take such a step lightly.”

It is unclear what the process is for lender and provider payments for business introduced through Mortgage Times. A spokesman for Legal & General Mortgage Club says it will continue to pay most of the network’s appointed representatives directly.