There are new bankruptcies occuring and often in differnt jurisdictions to help resolve peoples indebtedness.
Some of the recent ones are Waterford developer Darryl Kavanagh who is looking for bankruptcy in the US. That case involves €17m of debt with assets of c. €4.7m. Shortfalls like that are hard to resolve other than with bankruptcy.
Closer to home there were some creditor lead bankruptcies involving two former spread betting executives. In this case the people involved were hoping to avoid bankruptcy sumons’s but the judge ruled against them and they were adjudicated bankrupts. Creditor petitions are still by far the most popular bankruptcy course, we are of the opinion it is because the general population has yet to see that it is a debt solution as well, not just some kind of punishment.
Another thing which is often overlooked in bankruptcy is the cost to the creditors, here is an update on Sean Dunnes bankruptcy case in the US. It explains how the banks who will be losing out may have to help finance the bankruptcy! In Irish bankruptcy it works the same way because the official assignee keeps a cut of recovered monies and that means the banks get less.