A Manchester-based firm, Clark Sinclair Limited, has been dissolved following an investigation by the Insolvency Service. The inquiry revealed that the company was misleadingly marketing its services to directors of financially distressed businesses, suggesting they could evade scrutiny by selling their companies prior to entering liquidation.
On 29 October 2026, the High Court in Manchester ordered the winding-up of Clark Sinclair Limited. The company had been promoting its services through emails that implied directors could protect their reputations by selling their firms before the liquidation process commenced. They claimed to facilitate swift sales for companies burdened with debt, asserting that transactions could be completed in a matter of days.
Questionable Practices and Fees
In these transactions, shares were ostensibly sold for just £1, while Clark Sinclair charged brokering fees ranging from £2,500 to £6,800. Investigators uncovered a total of £123,052 in payments made by customers across two company accounts and identified 51 firms that seemingly changed ownership following payments made to Clark Sinclair.
Moreover, the company misrepresented the role of insolvency practitioners, incorrectly claiming that such professionals sold company assets solely to cover their own fees. Clients were not adequately warned that following the advice provided by Clark Sinclair could potentially breach their responsibilities as company directors.
Compounding these issues, the registered sole director of Clark Sinclair Limited informed investigators that they were unaware of the company’s existence, raising serious concerns regarding their appointment without knowledge or consent. The investigation further failed to establish the identities of those behind the company.
Condemnation from the Insolvency Service
David Usher, Chief Investigator at the Insolvency Service, condemned Clark Sinclair Limited for exploiting struggling businesses by offering a misleading escape route from their financial obligations, while charging substantial fees for the service. He emphasised that the sale of a company does not shield its former directors from scrutiny regarding their conduct if the business later undergoes liquidation.
Usher highlighted that Clark Sinclair’s actions not only misled their clients but also undermined the integrity of the insolvency sector as a whole. He urged anyone with inquiries regarding the company to contact the Official Receiver of the Public Interest Unit.
Company Information
Clark Sinclair Limited was incorporated on 3 December 2023, under the company number 15324100, and was registered at the Initial Business Centre, Wilson Business Park, Manchester. The winding-up of the company was conducted in the public interest under section 124A of the Insolvency Act 1986.