German law · English information
Investigations following a company insolvency may affect directors and other responsible individuals. Criminal defence and civil liability defence need coordination.
Typical allegations
Possible allegations include late filing, bankruptcy offences, breaches of accounting duties, preferential treatment of creditors and withholding social security contributions. Commercial failure is not itself a crime; the statutory elements, timing and personal responsibility matter.
Case files and preservation of evidence
Before a substantive statement, clarify the allegation and the underlying documents. Preserve accounting and communications without alteration. Statutory disclosure duties in insolvency and criminal procedural rights require careful distinction.
Separate interests
A company’s interests may differ from those of its directors. We assess conflicts and the necessary scope of defence before accepting instructions. Identify ongoing deadlines and official measures in your initial enquiry.
Related information
Procedures overview · Creditor rights · Corporate insolvency
Official German Insolvency Code · Official StaRUG
Practical implementation
Identify the allegation and procedural role first
Insolvency-related criminal matters can concern late filing, asset transfers, accounting failures and other statutory offences. A person's position as suspect, witness or company representative determines important rights and obligations. Access to the file and reconstruction of the financial position often provide the starting point. Business failure alone does not establish an offence. The legal elements, individual responsibility and required state of mind must each be assessed on the evidence.
Preserve records and coordinate the response
Responsibilities and contacts should be clear when investigators request information. Existing data should be preserved rather than altered to fit an explanation. A company and personally affected directors may have different interests. Civil disclosures, insurance notifications and criminal-procedure statements require coordination. A reliable defence uses a timeline of decisions and information then available. Findings from another proceeding should not be assumed to answer every element of the criminal allegation.
Four practical examples
The following scenarios are illustrative examples, not reports of client matters. The outcome depends on the facts and applicable rules.
Example 1: A police interview invitation
A director wants to explain events immediately. His procedural role, the allegation and the file should first be examined. An unprepared account can create avoidable inconsistencies; the defence needs a verified factual basis.
Example 2: Accounting records are missing
Historical records became difficult to access after a system change. Backups and responsibilities must be identified. Transparent recovery differs from altering original records. Missing evidence must not be replaced by fabricated documents.
Example 3: Assets moved within a group
Machinery was transferred to a sister company shortly before filing. Price, consideration, valuation and authority require investigation. A group transfer is neither automatically permissible nor criminal simply because the companies are connected.
Example 4: Company and director need advice
The company faces a disclosure request while a director is under investigation. A conflict assessment is needed before joint representation. Corporate interests, personal defence and potential compensation claims must remain properly distinguished.
Discuss your situation
Tell us your role, the parties involved and any deadlines. We will check conflicts, agree the scope of the work and explain the fees before accepting instructions.