Hartlepool Charity Faces High Court Winding-Up Petition as Accounts Show Deepening Insolvency..
- Dec 31, 2025
- 2 min read
Hartlepool Charity Virginia’s Chambers CIC Headed to The High Court, as Creditor Seeks Liquidation....
31st December 2025
A Hartlepool-based Community Interest Company (CIC), is facing a High Court winding-up petition, after its claimed one of its creditors moved to have the organisation compulsorily liquidated under the Insolvency Act 1986 following whats said to be "outstanding debts" owed by the firm.
According to a High Court petition seen by the Teesside & Durham Post, Virginia’s Chambers CIC, was served an application to wind up the business on the 17th November 2025 by Pareto Law Limited, a creditor of the company. The matter is due to be heard at the Business & Property Courts of England & Wales, Rolls Building, London, on 14 January 2026 where its claimed a petition will be sought to declare the company insolvent in a bid to recover whats claimed to be "substantial sums" owed in legal costs.
The business had previously been operating from a former bingo hall in Hartlepool's Town Centre acting as a foodbank & wellness centre, however the business moved from its York Rd premises following claims the charity was facing enforcement action from Hartlepool Borough Council over the condition of the building they were occupying as well as the outside areas of the building.
However, according to the firms most latest un-audited accounts published to Companies House, covering the period to 31 July 2024, the documents reveal a business that has never traded profitably and operating with substantial negative reserves.
Its claimed that whilst turnover increased, administrative expenses of £19,828 significantly outweighed the charities income, with notably high costs including utilities, repairs and maintenance, insurance, and professional fees said to be "unusual expenditure levels" for a small CIC with minimal revenue.
Despite holding whats claimed to be tangible fixed assets valued at just £1,784, the company’s balance sheet confirms liabilities exceed its assets, leaving the CIC technically insolvent on a balance-sheet basis likely forcing its creditors to take action.
Whats claimed to be even more concerning is the fact that there's said to be no evidence in the Charities accounts of any secured funding, reserves, or any sustainable grant income, despite claims in the CIC's report that the organisation was seeking grants and donations to refurbish its premises.
Crucially, the accounts were also said to have been prepared on a going concern basis, despite the company’s continued losses — a position that now appears untenable given the escalation to High Court proceedings.
The winding-up petition is said to be being heard on the 14th January 2026. If granted, the court may place Virginia’s Chambers CIC into compulsory liquidation that very day, leading to Control of the company passing to the Official Receiver, Possible Investigation of the company’s financial affairs and conduct of directors
& Potential closure of the CIC, including a court order, ordering the disposal of any remaining assets.
