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Norton Deposit Info & It's Demise

Discussion in 'Other Bikes' started by farmind, Feb 4, 2020.

  1. For anyone out there who has a deposit or worse down on a Norton please message me as info for us is very limited as the banks to work this swindle rely on us behaving as mushrooms!
     
  2. Thread moved
     
  3. Banks swindle? How so? I think its Norton who have worked a swindle!!!!!!!
     
    • Agree Agree x 1
  4. What happened has happened and I knew the risks and only hold myself responsible for leaving my money there....... because I wanted the bike. Who feels safe about placing a deposit at your local dealer now?

    My attention is now focused on what the administrator BDO does on behalf of the banks whom invested and knew the risks with investments, we whom have deposits were not investors and should be considered as a priority.

    I posted this to attract anyone else who purchased a bike from Norton and has not received it to try and create a group rather than a discussion about the situation, there are plenty of them out there for that.
     
    • Like Like x 2
  5. I would not feel unsafe putting a deposit down with Ducati, or one of the major bike suppliers, though I would take precautions by paying with credit card etc, with a refund due prior to my coverage rights expiring.

    I don't think the debacle with Norton is really comparable to the typical business approach generally used in the motorcycle industry. The Norton saga has dragged on for years, with many stories of a clearly disfunctional operation and financial irregularities.

    All that said, I think its a shame and I wish you well in getting your money back. I'd also like to see the Norton management in court.
     
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  6. There is zero chance of getting a deposit back.

    The banks invest by taking a guarantee from the company and/or directors. That is always the case, no bank would ever do otherwise.

    Caveat emptor is a basic principle in British contract law.
     
    • Agree Agree x 1
  7. Whatever money is raised by either selling the business as a going concern or selling it off in bits will be less than that owed by the company to all its creditors. Creditors will get paid in the order
    HMRC
    Any party with first charges over property/assets - usually banks
    Any other secured creditors
    Any unsecured creditors
    Shareholders

    Usually the money runs out after line 2 if not line 1 above.

    Check with BDO you are listed as a creditor, they have to tell you. If not get listed, that’s you’re first priority.

    Realistically you’ll be very lucky to get anything back unless you paid by a credit (or in some cases debit) card whereby you have protection from the card provider due to the way contract law works.
     
  8. HMRC is no longer a preferential creditor.

    The bank will probably not even cover their debts due to the number of qualifications to the accounts across the group.
     
  9. True for corporation tax and some other taxes but untrue where PAYE & VAT are concerned and iirc the 300k HMRC were requesting in court a few weeks back related to PAYE and NI which had been deducted from employees pay packets but not handed over to HMRC - naughty Stuart.
     
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  10. IIRC, PAYE liability has some sort of primacy in the creditor pecking order. This used to cause quite a bit of friction between creditors (and between various HMRC departments who all wanted their cut).
     
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  11. That’s what I meant, they are a preferential creditor when it comes to unpaid PAYE/VAT.
     
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  12. Not at the moment. It was removed a few years ago but after consultation last year taxes that are held by the company on behalf of others they have taken it from, will become a secondary preferential creditor behind employees.
     
  13. VAT takes priority, IR comes second, banks come in third, and everyone else comes after that. If there’s anything left.
     
  14. According to duke that’s not the case.
     
  15. vat here always takes the first bite off the cherry as it was charged to the customer on behalf of revenue so its actually there money id say its the same in the uk ?
     
    #15 theskitz, Feb 10, 2020
    Last edited: Feb 10, 2020
    • Agree Agree x 1
  16. If you paid the deposit with a bank card, you have protection under section 75. My claim is in process though I expect it to take some time:

    Section 75 offers protection for items or services valued from £100 to £30,000, of which at least part of the purchase (such as a deposit) was made with a credit card. Purchases under and over these thresholds cannot be considered.

    So, if you buy something for £500 but only pay £50 with a credit card, you would be protected for the full amount. But if the full value of the item was only £75, you wouldn't.
     
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  17. I should have said there is zero chance of getting any money back from Norton or the administrators.

    I would guess you might have to wait for the administration process to be complete before a credit card will refund because if someone does buy the Company, its possible bikes might be built and delivered.
     
  18. Shouldn’t have to wait for the administration to be sorted out before getting a refund from a credit card co. It’s all to do with contract law.
     
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  19. 2750186D-F4DB-4388-8C6D-7E6F74F6D1D8.png
     
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  20. So the 3.4 million question is, where did it go?, I have to laugh!
     

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