Katie Price avoids paying £174,000 tax bill from her insolvent cosmetics company after it went bust owing hundreds of thousands
- The former glamour model’s company Jordan Trading Limited went bust in 2017
- At the time it owed hundreds of thousands of pounds to HMRC and creditors
- Liquidator Moorfields says it expects to recover a fraction of that from the firm
Katie Price has avoided paying a tax bill of £174,000 from her insolvent cosmetics firm.
The media personality had owed hundreds of thousands of pounds through her company Jordan Trading Limited when it went bust in 2017.
It was placed into voluntary liquidation by the now 43-year-old, with Moorfields taking brought in as liquidators.
Katie Price’s firm Jordan Trading Limited owed hundreds of thousands of pounds when it went bust in 2017
It has spent the last five years dealing with the firm’s assets in an effort to repay creditors who were owed money when it collapsed.
The company handled Price’s perfume and make-up range, with other business ventures including her equestrian range, run separately.
According to Moorfields latest report, which has been filed to Companies House, the glamour model turned business woman owes a total of more than £369,000.
The Sun reports that £192,376 of this is owed to HMRC, £25,746 to ‘trade and expertise creditors’ and £152,478 to the directors loan account.
The former glamour model, pictured here promoting her KP Equestrian and KP Baby range of clothing, which is run by a separate firm, is said to have debts of more than £2 million
Insolvency firm Moorfields says it expects to pay creditors as little as 8.19p for every pound they are owed. Price is pictured here at a photocall for KP Equestrian in December last year
The insolvency firm added that it expects unsecured creditors to receive ‘approximately 8.19p’ for every pound they are owed.
If this is the case it means that HMRC could get as little as £15,755 – £176,621 less than is owed.
Meanwhile, other creditors could receive just £2,108 from the £25,746 they are owed.
Moorfields says in its report it is claiming £56,553 in fees and expenses for dealing with the insolvency.
It says this is double what was expected when it took over, but blamed this on the extended period of time it has taken to work things out.
It said it had spent ‘more time than originally anticipated’ dealing with the Directors’ outstanding loan account, as well as having to work around Price’s subsequent bankruptcy.
The reality star had faced a probe into how she funds her ‘luxury lifestyle’ despite being £2.3 million in debt.
In February she was due to appear at the High Court in London to explain to a judge exactly how she was attempting to pay off her debts.
However, she did not turn up and avoided being sent to prison after a last minute deal was struck to help pay them off.
Following this the price of her Only Fans content was slashed by 50 per cent.
Fans had to pay £11-per-month to see her pictures when she joined the site in January. But following the court case she halved the price in an attempt to encourage more subscribers.
The ex-glamour model, who once had a fortune of £45million, has lurched from one crisis to another in recent years.
Aside from her financial woes, she has been before the courts on multiple occasions for driving offences, while she also allegedly breached a restraining order taken out against her by her ex-husband Kieran Hayler’s fiancée.
Katie Price’s legal history
October 2003: Escaped a speeding charge on a technicality after cops failed to arrest her within 12 weeks. Her Range Rover was allegedly clocked at 70mph in a 40mph zone. Also in October, charges against Price, for an alleged assault in a nightclub, were dropped when police failed to arrest her within 12 weeks.
June 5, 2008: Given three penalty points, fined £200 and ordered to pay £80 costs at Feltham magistrates’ court for talking on her mobile phone while driving on April 18.
January 7, 2009: Let off on a legal technicality by Brighton magistrates after allegedly breaking a 30mph limit and not providing the identity of the driver to police.
July 7, 2010: Convicted in her absence by Crawley magistrates after cameras caught her speeding at 99 mph on September 16, 2009. Her lawyer argued she was only speeding because she was being hounded by the paparazzi, but police said there were no other speeding vehicles around. She was fined £250, ordered to pay £500 prosecution costs and given four points on her licence.
September 28, 2010: Convicted at Mid-Sussex Magistrates’ Court for failing to be in proper control of her 7.5-ton lurid pink horsebox after veering into another lane in Sussex on February 19. She was fined £1,000, ordered to pay £650 court costs and a £15 victim surcharge and given three points on her licence, taking her tally to 10.
December 1, 2010: Banned from driving ban for six months after she was caught on speed camera travelling at 83mph in a 70mph zone on the A23 in Pyecombe, West Sussex on 10 December 2009. Ms Price, who did not attend the hearing, pleaded guilty to the charge. In her absence, she was fined £1,000 and given three penalty points on her license (taking her total at that time to 13 points). This took her over the 12-point limit and brought an automatic six-month driving ban and so she was disqualified from driving for six months.
August 31, 2012: Barred from driving on the roads for 12 months, after failing to respond to two speeding tickets. She had been caught speeding in London on September 5 and September 6 2011. The glamour model argued that all of her post was dealt with by her mother and she had never seen the prosecution warnings. Ms Price, who already had six points on her licence at the time, was given six more and banned for 12 months. She was also fined £400.
February 16, 2018: Banned from driving for six months after doing 60mph on the 50mph A24. She already had points on her license. Following the incident in Dial Post, West Sussex in 2017, Ms Price failed to tell police when the speeding ticket arrived and was charged with failing to provide details about the person driving. She failed to show up at magistrates’ court and was given a six-month ban and a £750 fine.
July 28, 2018: In July she was was questioned by police after photographs emerged of her getting behind the wheel of her car while still banned from the road. Pictures revealed Ms Price driving her grey Ford Fiesta home from Gatwick with her youngest kids Jett, aged four, and Bunny, aged three. She handed herself into police and took to Instagram to insist that she thought the ban was over – but as soon as she realised it wasn’t, confessed her wrongdoing to authorities to avoid a ‘guilty conscience.’
September 26, 2018: Crashed her £63,000 Ranger Rover on September 26, while allegedly on her mobile phone. The crash was reported to the police. Marketing executive Katie Pugh, 23, told MailOnline that the troubled star rear-ended her Mercedes as they were stuck in traffic on the A3 in Roehampton, Surrey. Pugh said she looked up into her rear-view mirror and noticed Ms Price appearing to be looking at her phone moments before the collision at around 5.30PM on September 26.
October 10, 2018: Arrested on suspicion of drink-driving in the earlier hours of the morning on October 10, after being found by police in her garish pink Range Rover in Woolwich, East London. Ms Price had allegedly been partying with ex-boyfriend Kris Boyson helping him celebrate his 30th birthday when her car ended up hitting a parked car. She took a roadside breath test and was taken to Plumstead Police station where she was released after a night in the cells. Ms Price was then photographed driving her car without wearing her seatbelt, just 36 hours after her drink driving arrest – an infraction that carries a £100 fine.
December 2018: Charged by postal requisition over her drink-driving charge
January 2019: Price appeared in court after being caught driving while disqualified during the July 2018 incident. She was given another three month ban. She was handed a £1,100 fine at Crawley Magistrates’ Court. Paul Macaulay, defending, said she had mistakenly believed the ban had dated from an earlier hearing in January – which meant it would have ended in early July. He conceded she had not contacted the DVLA about reinstating her driving licence before she was caught because she was ‘not the best’ at paperwork, he told the court.
February 2019: Price served a further three month ban after being convicted of drink-driving during the incident in October 2018.
June 2019 : Price is fined after shouting abuse at ex-Hayler’s girlfriend Michelle Penticost in a school playground, in Shipley, West Sussex. Price was issued with a five-year restraining order against her and ordered to pay £606 in fines and court costs.
Autumn 2019: Issued with her sixth ban – a two-year disqualification – which she appealed. It was reduced to 18 months. She had failed to tell the police who was behind the wheel of her pink Range Rover when it crashed in south-east London. She was charged with withholding the name of the driver.
March 2021: Price allegedly gets behind the wheel of boyfriend Carl Wood’s Range Rover weeks before her 18-month ban is lifted. She was reportedly seen driving her famous pink Volkswagen Beetle from her Sussex mansion to her rental home in Surrey. She is questioned by police over the matter.
December 2021: Price appears in court over the September incident. Aftering admitting drink-driving she is sentencing to a 16-week suspended jail term. The judge says Price is lucky to have avoided prison.
January 2022: Just months after avoiding prison Price is investigated by police over claims she breached a restraining order against Michelle Penticost. It is alleged she branded Ms Penticost a ‘gutter sl*g’ in ‘abusive messages’. She is quizzed by police for 12 hours. In the same month she narrowly avoids a potential prison spell after paying £7,350 driving fines at the last minute.
February 2022: Price avoids jail for the second time in weeks after striking a last-minute deal to pay off her debts. She is due to appear before a High Court judge to review her attempts to pay back £2.3million she owed after being declared bankrupt in 2019. But the former model agrees to pay a ‘small contribution’ to reduce the amount owed to creditors and agrees to a new regular payment plan. The reality star risked being sent to prison for contempt of court if she failed to appear at the hearing – which was due to be held remotely – without notifying the judge.
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