Bankrupt jailed for hiding property from trustees

F.P. Report

LONDON: Sukhi Sanghera appeared at Warwick Crown Court on Thursday 27 October 2022, where he was sentenced before HHJ Berlin after he was charged with 4 counts of fraud.

The court heard that Sukhi Sanghera (50) was made bankrupt in August 2017 by order of the County Court in Warwick, with debts of over £140,000. The Official Receiver was appointed trustee before other trustees were appointed to administer Sukhi Sanghera’s affairs.

As part of his bankruptcy, Sukhi Sanghera, also known as Sukhwinderjit Singh Sanghera or Sukhwinder Singh Sanghera, was obliged to disclose all his assets to the Official Receiver and his trustees, including property.

Sukhi Sanghera, however, failed to disclose to either set of trustees that he was the sole owner of a rental property in Coventry which yielded a monthly rental income of £1,900.

Due to the risk he posed to creditors, the Official Receiver previously sought further bankruptcy restrictions against Sukhi Sanghera.

In August 2019, the Secretary of State accepted a 10-year bankruptcy restrictions undertaking from Sukhi Sanghera after he did not dispute that he failed to disclose the property to the Official Receiver.

Upon sentence, the judge commented that Sukhi Sanghera was a “profoundly flawed and dishonest man….who showed a flagrant disregard for the law and authorities.”

Sukhi Sanghera received 8-month sentences on all 4 charges contrary to the Fraud Act 2006 and will serve them concurrently.

Glenn Wicks, Chief Investigator for the Insolvency Service, said:

At multiple points Sukhi Sanghera had the opportunity to be honest and disclose to his trustees that he benefited from a rental property. Instead, Sukhi Sanghera went to great lengths to conceal the property in Coventry through fraud and deception to avoid paying his creditors what they were owed.

The courts have recognised the severity of Sukhi Sanghera’s actions and his custodial sentence demonstrates the risks people take if they don’t declare all their assets when in a bankruptcy process.