ORIGINAL ADJUDICATION!

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On Tuesday 11th August 2015 Jim Gallacher telephoned his Trustee –  Iain Forsyth – at Carrington Dean in Glasgow. Here’s a transcript of that conversation, as related to Trust member Gordon Dyer.

‘I had a lengthy ‘phone call with him on Tuesday 11th August. He only comes in to Carrington Dean for about an hour every Tuesday.

He said it was only 1p in the £ they’d been awarded and admitted he hadn’t looked at their claim and had just awarded it.

I explained in detail to him again the implications of his decision. I asked how I could appeal his decision, and he said ‘To a Sheriff’ – but when I said I would be appealing, he seemed a bit reluctant that it go to that stage.

He then asked me to put something in writing to him ALONG WITH MY SET OF ACCOUNTS – the ones that had been fully investigated by the C.I.D.’

Only two months earlier Mr. Forsyth had assured his client that he would ‘review everything before closing the Trust Deed’. He possessed extensive correspondence from Harper Macleod LLP, including a full set of accounts and an eight-page submission in his client’s defence.

Did he act in his client’s best interests by making an adjudication without examining all available evidence ‘because it was only 1p in the pound’?

Did he act professionally by bizarrely asking his client for ‘something in writing’ – given the documentation already in his possession?

Iain Forsyth appeared DETERMINED to favour the Trust’s claim at all costs. He also appeared to imagine that his client ‘had come up the Clyde on a banana boat’! 

Jim Gallacher was temporarily unable to contact Mortonjag, and had no detailed knowledge of what had gone on between Forsyth and Harper Macleod. Believing that his Trustee was acting professionally and in his best interests, he forwarded the original accounts which had been investigated by Strathclyde C.I.D. back in January 2010. In the accompanying email, dated 17th August 2015, he said:

‘The case is currently sisted awaiting the outcome of their claim with yourself. Should any monies be awarded to them they will recall the sist and ask for the case to be found in their favour and full costs to be paid by myself. If you’re unable to make a decision in their favour then we will go back to court and have a full hearing with both parties providing all their evidence and for the judge to make a decision – i.e. the court case will continue as normal’.

Then the ‘fun’ began!

Iain Forsyth – Wednesday 19th August 16.49: ‘Thanks James, I note what you write and I will review the position and get back to you’.

Jim Gallacher – Tuesday 1st September 09.43: ‘…..did you manage to have a look at the Morton Trust Claim…..’

Iain Forsyth – Tuesday 1st September 10.03: ‘Good morning Jim, I have gone through both sets of figures. Do you know if the court action has been sisted or dismissed? I will email you this week.’

Jim Gallacher – Friday 4th September 13.40: ‘Hi Iain, any decision yet?’

Jim Gallacher – Monday 7th September 10.56: ‘Good morning Iain, any decision yet?

Iain Forsyth – Monday 7th September 18.02: ‘Good evening Jim. Sorry for the delay, I will get back to you on Wednesday.

Jim Gallacher – Friday 11th September 11.00: ‘Good morning Iain, could you please advise on the below: –

Is the reason for the delay in responding with a definitive answer because?

  • You are having correspondence with the Morton Supporters Trust?
  • That you are seeking further advice on the matter from the Accountant in Bankruptcy or another person?

Could you please advise a new date when I’m likely to receive an answer?

Iain Forsyth – Friday 11th September 11.38 ‘Good morning Jim, I have reviewed the position and found that the Greenock Morton Supporters’ Society Ltd. (GMSS) claim of £2,302 should be admitted to an ordinary ranking. I consider that the creditor has submitted sufficient documentation to support the claim. I am sorry this is not the decision you wished for.

You are entitled to dispute the adjudication to the Sheriff in terms of Section 49(6) of the Bankruptcy (Scotland) Act 1985.’…..

…..and when Mr. Gallacher arrived home that evening, a ‘hard copy’ was waiting for him – dated 10th September.

SO THERE IT WAS IN BLACK AND WHITE!

THE TOADMEISTER’S FELLOW BEAN COUNTER HAD ‘REVIEWED BOTH SETS OF ACCOUNTS’ BEFORE STATING CLEARLY THAT THE TRUST HAD ‘SUPPLIED SUFFICIENT EVIDENCE TO SUPPORT THE CLAIM’.

NOTHING COULD HAVE BEEN FURTHER FROM THE TRUTH!

Trustee Forsyth later made a preposterous ‘U-turn’ under scrutiny by The Accountant in Bankruptcy, but in September 2015  he seemed determined at all costs to favour THE TOADMEISTER’S CLAIM -THE TOADMEISTER WHO ‘HAD REASON TO BELIEVE THAT FURTHER REPERCUSSIONS WERE HIGHLY UNLIKELY’! 

Forsyth got one thing right. It most certainly wasn’t the decision Jim Gallacher had wished for, and with dividends due in five days time,  a formal objection was lodged.

Next up – Jim Gallacher re-establishes contact with Mortonjag!