Simmering differences over the conduct of Small Business Restructures (SBRs) erupted into overt assassination this week with the Association of Independent Insolvency Practitioners (AIIP) expelling Eddie Griffith from its membership.
In a letter dated November 20 the AIIP told Griffith that recent actions by him were likely to bring the AIIP into disrepute. As a result he was out.
“In the opinion of the board, you as a director of ABRT, have publicly brought, or made it likely to bring, the Association of Independent Insolvency Practitioners Limited into disrepute,” the AIIP said.
“Accordingly, we give you notice that your associate membership of AIIP Limited is terminated forthwith.”
According to the letter a recent Facebook post by Griffith aimed at small business owners seeking restructuring advice “made derogatory comments about registered liquidators”.
In the post Griffith, who is chairman of the not-for-profit Affiliation for Business Resilience and Turnaround (ABRT) warns business owners not to fall “for a liquidator’s “SBR quick fix”, saying “Liquidators are not your friendly advisors – they act for creditors, not directors” and are “inherently conflicted”.
“Many directors are being pressured into the Small Business Restructuring (SBR) process by liquidators chasing fees,” Griffith also said, no doubt knowing the post would put him on a collision course with the AIIP.
In an email to iNO Griffith dismissed the AIIP action.
“I joined the Association of Independent Insolvency Practitioners in 2023 with a passing interest in becoming an SBR liquidator,” Griffith said.
“The AIIP says associate membership is for “members of the profession who intend to proceed with an application to be registered as an Insolvency Practitioner.”
By mid-2024 I had no intention of doing that. The space was already showing signs of abuse at the expense of small business directors.
“The ABRT’s work is business turnaround, restructuring advice and director advocacy. Long term relationships. Nothing like the traditional liquidator model.
“I chose not to renew around July 2024 and my LinkedIn profile proudly displays my membership as having lapsed in December 2024. A membership that has lapsed cannot be terminated. The fact they have tried raises grave suspicions,” Griffith said.
ARITA CEO Jonathan Smithers was also asked for comment.
At H&H Advisory we are proud to say that we do not have a single SBR that was rejected by creditors. Outside of 2 that could not propose a plan, every single one has been approved. We take the time and effort to get to know the company, improve its performance and write a detailed report to creditors outlining the financial affairs of the company, including industry trends. We take the time to answer all queries from creditors. We might cost a little more, but we are very proud to say we have restructured every single one successfully who has proposed a plan. A bit of a generalisation to paint us all with the same brush by this guy.