Hundreds left out of pocket as debt management company goes bust

A company owned by the husband of the MP for Derby North has gone bust, with many of its former clients claiming that they have been left out of pocket.

Compass Debt Counsellors was run by Robert Solloway, the husband of Amanda Solloway, the Conservative MP for Derby North.

Compass, based in Long Eaton, made its money by trying to reduce household debts for its clients by charging to deal with creditors on their behalf and reducing the amount they owed.

The firm had around 500 clients, according to reports, many of whom have turned to online forums such as Money Saving Expert for help and advice.

One such client said: “We’ve just found out due to a creditor hassling us for non-payment. It appears they last paid creditors in December. We also received a letter in January from them explaining our debts were not legally enforceable and solicitors would contact us. We carried on paying thinking they were dealing with everything so had no reason to contact them or stop payment.

“I’ve been in touch with AARB the insolvency company, to register interest in the wind up of the company stating my compass reference number, my contact details, a copy of the original signed agreement with compass and a brief description of my claim.”

Compass’s website is out of action, and simply says: “Debt Counsellors no longer offer regulated debt management services.”

The other directors of the company are names as Mark Harrison and Richard Mott.

Alan Simon, of AABRS insolvency specialists, is reported as saying that it’s not clear where the money paid to Compass by its clients is. “We don’t know where it is yet, we are still looking into that. We are working with the FCA,” he said.

A creditors meeting is due to take place at the Holiday Inn Express in Leicester on 21st March.

Amanda Solloway has gone on record as saying she has never worked for Compass.