Companies House mistake 'caused firm's collapse'

[Simpo Two]

http://www.bbc.co.uk/news/uk-wales-south-east-wale...

[andyb28]

I noticed that yesterday, nasty stuff.
"Companies House contested the claim on the basis that it did not owe a duty of care to the company." this is a bit of a joke statement, surely?

I was wondering what I would do in the same situation and I would have thought I could convince my largest customers that it is a mistake, however I have experienced customers going under owing me money. They lied, told me all was ok, it will be fine, we will be paid, do not stop services. Only to find a couple of weeks later they are gone and I will never get the money owed.

[Simpo Two]

I think there should be a new ethos - 'He who fks up, pays to fix it'.

[zedstar]

They should have to pay £80m. There's no excuse of the absolute stupidity that went on, and obviously I don't know as I wasn't there, but based on my dealings with Companies House it probably took a lot of phone calls for them to be taken seriously and have something done about it. One of my clients used to work for them many years ago and left cos he said is he stayed he'd turn into an 'incompetant jobsworth just like them'. Though that was 15 years ago. With the level of automation and software used you would think it would be almost impossible to make a mistake like that. Then to say they have no responsibility is pathetic.

[superlightr]

zedstar said:

They should have to pay £80m. There's no excuse of the absolute stupidity that went on, .

where do you get £80m from? the owner is claiming £8.8m in damages.

[Silverage]

Would the Companies House info being incorrect for three days really make any difference? How would word of this change actually spread? Were his customers checking with CH each time before doing business with him? Doesn't sound right to me.

[Frimley111R]

I can't believe that CH was totally to blame for the failing of such a large company. It may have contributed but how did the company owner let it get that far??! Are CH just being made a scapegoat?

[zedstar]

superlightr said:

where do you get £80m from? the owner is claiming £8.8m in damages.

I get it from them having to pay enough to realise the significance of their job. If they had to pay a rediculous sum of of £70m odd in damages they might realise they do have a duty of care.

[mouseymousey]

Frimley111R said:

I can't believe that CH was totally to blame for the failing of such a large company. It may have contributed but how did the company owner let it get that far??! Are CH just being made a scapegoat?

CH update their records then sell their data to the credit reference agencies. Presumably DNB and the like then automatically send alerts to DNB customers that the company has been wound up. Pretty soon all credit lines are withdrawn and suppliers no longer want to deal with you and no customer wants to pay you!

By the time it's happened it is too late to do anything. No-one is going to believe you when you say it's a mistake and it doesn't take too long for cash to dry up.

Or something like that anyway.

[BlackLabel]

zedstar said:

superlightr said:

where do you get £80m from? the owner is claiming £8.8m in damages.

I get it from them having to pay enough to realise the significance of their job. If they had to pay a rediculous sum of of £70m odd in damages they might realise they do have a duty of care.

But they are not paying it, the taxpayer is. No one will lose their job, no one will have a reduction in salary etc. 'Lessons will be learned' and all will go on as normal.

I'm normally against 'compensation culture' but in this case it seems entirely appropriate.

[Simpo Two]

I'm self-employed; if I cock something up I lose money. So whichever twerp cocked this up should forfeit 20% of his salary. It might sharpen him/her up for next time and serve as a lesson to the rest. And if they don't like it, they can resign and start their own businesses...

[northwest monkey]

Simpo Two said:

I'm self-employed; if I cock something up I lose money. So whichever twerp cocked this up should forfeit 20% of his salary. It might sharpen him/her up for next time and serve as a lesson to the rest. And if they don't like it, they can resign and start their own businesses...

100% agree with this. How are they supposed to learn when there is no repercussion for fking it up?

[The Moose]

Simpo Two said:

I'm self-employed; if I cock something up I lose money. So whichever twerp cocked this up should forfeit 20% of his salary. It might sharpen him/her up for next time and serve as a lesson to the rest. And if they don't like it, they can resign and start their own businesses...

With respect, that's bks.

I'm not saying the situation or the resultant outcome is correct, but your statement is bks.

[Simpo Two]

The Moose said:

I'm not saying the situation or the resultant outcome is correct, but your statement is bks.

On what grounds? It may not be enforceable in real life because they'd all go on strike, but the sentiment is correct. Call it an incentive if you like. How would you feel if your life's work went to the wall because someone went home a bit early? Either take responsibility for something or don't do it - and that is the problem.

Edited by Simpo Two on Friday 30th January 15:00

[evilmunkey]

I also think that the 250 now unemployed staff should get compensated too. feel realy sorry that they lost jobs due to incompetence.

[0a]

I'm a bit suspicious that all his suppliers/customers pulled the plug. In my experience things are not this automated - we'd check if a supplier/customer was flagged, and I think the same would happen in all the other companies I have worked for.