Bankrupt Landlord hid £2k Monthly Rental Income

A Coventry landlord received a monthly rental income of almost £2,000 despite being declared bankrupt. He failed to declare it.

Bankrupt Landlord hid £2k Monthly Rental Income f

he was the sole owner of a rental property

A landlord has been jailed after failing to disclose ownership of a rental property after he was made bankrupt.

Sukhi Sanghera, also known as Sukhwinderjit Singh Sanghera or Sukhwinder Singh Sanghera, was described as a “profoundly flawed and dishonest man” after receiving a monthly income of almost £2,000 despite being declared bankrupt.

In August 2017, Sanghera was made bankrupt by order of the County Court in Warwick, with debts of over £140,000.

As a result, his affairs were passed into the control of the Official Receiver, and he was obliged to disclose all his assets to officials.

As part of his bankruptcy, Sanghera was ordered to disclose all his assets to the Official Receiver and his trustees, including property.

But he 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.

At Warwick Crown Court, Sanghera pleaded not guilty to failing to disclose his ownership of a property in Walsgrave Road.

But when he returned to the court, after a delay in his hearing, the ex-councillor was jailed for fraud.

Sanghera had been elected to Warwick District Council in May 2019, but in August of that year, he accepted a 10-year bankruptcy restrictions undertaking.

As a result of that, he was disqualified from sitting as a councillor, and a by-election for the seat was held later that year.

On October 27, 2022, Sanghera, aged 53, of Leamington Spa, was jailed for eight months for four counts of bankruptcy offences contrary to the Insolvency Act 1986.

When passing sentence, the judge said the landlord was a “profoundly flawed and dishonest man… who showed a flagrant disregard for the law and authorities”.

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.”

Dhiren is a journalism graduate with a passion for gaming, watching films and sports. He also enjoys cooking from time to time. His motto is to “Live life one day at a time.”

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