Eddie
Doherty welcomed everybody to the meeting and introduced the three visitors from
PricewaterhouseCoopers who were visiting CAU.
2.On-line
access to BANCS (Demonstration & discussion)
Simon
Moss gave a presentation of the on-line access facility that CAU is planning to
provide to insolvency practitioners to enable them to view their accounts
online.Various ideas with regard
to how insolvency practitioners (IPs) would like the system to work were raised
and these included:
The ability
to see which IP address was linked to each account.
A direct
email link to the reconciliation section so that the IP can highlight any
errors on the account.
A separate
list of cases that were allocated to the IP but have now been closed.
Simon
agreed that the ideas above would not require a major change to the system and
could be introduced with phase one.
On-line
payment requisitions using digital signatures and other security measures.
Eddie
explained that this would require a change in legislation and therefore would
not be applicable for the release of phase one.
Other
ideas were raised but Simon explained that these would require a change to the
CAU database and therefore would be items to consider for the future:-
IP being
issued with multiple passwords (1 for each insolvency type) so that the cashiers
dealing with a particular insolvency type are only allowed to access their own
cases within the firm.
The ability
to follow the progress of a CAU101 through the system from receipt to the
despatch of the cheque.
To be able
to see behind the front screen of the posting, which would include being able to
see the cheque number and a cheque’s current status.
Simon
thanked the meeting for their ideas and explained that funding for the project
still had to be confirmed but he hoped to have the system available for use by
the end of the financial year 2000/2001
Access
to the system would be supported between 8am and 6pm but the system would be
available 24 hours a day.
Eddie
agreed that CAU would look at what security packages were available with regard
to on-line requisitions in preparation for phase two of the project.
3.Matters
arising from the previous meeting
a)Customer Survey
Ron
advised the meeting that 400 surveys were issued to insolvency practitioners and
over 50% were returned. The analysis of the results is underway and a draft
report has been prepared.All
insolvency practitioners who returned the survey and members of the user group
receive a full copy, which will include the original questionnaire. An abridged
copy will be published in Dear IP and on The Insolvency Service website.Some interesting ideas were raised which will be reviewed.
b)Cheque Counterfoil
Ron
advised the meeting that the request for the payee name and amount of the cheque
to be printed on the counterfoil had now been implemented.
c)IP signature database
Ron
asked if members were aware of any problems arising from the 100% check on IP
signatures that CAU has been carrying out since the beginning of July. No
problems were reported and no delay in receiving cheques had been noticed.
4.Performance
Ron
Heppenstall advised the meeting that the key volume figures could be found in
their folders. He outlined the continued rise in intake with the exception of
the expected reduction in investment transactions, which is linked to the low
interest rate.Despite the
increased intake CAU has managed to meet all of the key targets.Ron stated that last month CAU had produced over 4,000 cheques for a
voluntary dividend and asked the group whether it was cheaper for the IP to use
CAU rather than produce the cheques themselves.It was agreed that the turnaround time offered by CAU rather than the
cost was the deciding factor in most offices.Jim informed the meeting that the requisitions performance target for the
year 2001/2002 would be improved to 100% of requisitions processed in 4 days and
90% processed in 3 days.
5.BACS
Eddie
advised the meeting that the use of BACS was disappointing with only 1.8% of
payments being paid via BACS.Dawn
Palmer explained that she believed it was due to changes in internal procedures,
which cashiers in IP firms would have to make to use BACS.
A
couple of problems were highlighted regarding the quoting of references on the
payment details and in remittance advice letters when the payment had been made.Eddie said he would liaise with the software developers to ensure that
the problem was corrected.The
non-receipt of remittance advice letters was also raised together with a problem
in making BACS payments.Eddie will
take this up with CAU managers.
6.Security
Ron
asked if there were any issues regarding security.No issues were raised
7.Interest
on Bankruptcy estates
When
the Insolvency Bill is enacted, bankruptcy estates will be entitled to purchase
Government securities as well as receiving interest at 3.5% pa on surplus funds
over £2,000. CAU’s system developers are currently upgrading BANCS to cope
with the change in legislation.Jim
explained that the bill had to be enacted upon by Parliament by the end of
November 2000 and with the changes to be made to the Insolvency Rules and
Insolvency Regulations it will probably not come into effect until Spring 2001.The amendment means that the number of cases requiring interest to be
credited at each half year is expected to double, which may result in down time
for BANCS during the half-year exercise.
8.email
Eddie
advised the meeting that email addresses had now been created for the
individual sections within CAU and that they could be used for sending statement
requests and orders for paying in books direct to customer services.CAU101s via email will not be processed as the original signature of the
IP is required for payments out of the ISA.Eddie advised the meeting that the proposed layout for the CAU page on
the Insolvency Service website was included in their folder he explained that
the current page was out of date and the amended version should be available by
the end of October 2000, located on the IP Services site.The new email addresses for the individual sections are: -
Jim
advised the meeting that Pamela Denham and her team had completed stage one of
the review and had submitted her report with recommendations to Ministers; we
were awaiting the outcome.Stage
2 would be to implement any changes that were recommended in the report.Jim pointed out that if the recommendations included any significant
changes to ISA banking arrangements, legislation would probably be required and
therefore they would not be implemented immediately.The decision would be made public and a formal statement would be issued
in due course.
10.Insolvency Service
Website
This
item was covered in 8
11.Any other business
a)Sheila Bowles enquired if any guidelines had been located on the level of
dividend below which raising of a dividend cheque was not required.Eddie replied that he had been unable to locate in the legislation but he
would review the situation and report back.
b)Eddie advised the meeting that CAU was currently undertaking data
integrity exercises to ensure that the data held by CAU was accurate before the
introduction of on-line access.Cases
with a zero balance prior to 01/04/99 are being closed and cases with a static
balance since 01/04/99 will be reviewed.The first stage of the review is to check the status of the liquidation
with Companies House.If the
company has been dissolved the case will be closed and the balance dealt with.In bankruptcies and cases where the company has not been dissolved the IP
will be contacted for details of the current status of the case.
c)Treasury bills are currently only available for purchase once a week.Eddie and Jim are meeting with National Debt Office with the view to
arranging to return to purchasing treasury bills on a daily basis.
Eddie
thanked everybody for their input and it was agreed that the next meeting would
take place at 10.30 am on Wednesday 4th April 2001 @ The Insolvency
Service Headquarters in Birmingham.
