Home Business News Judge concludes that Orbit Energy is insolvent after closing their doors following soaring gas prices

Judge concludes that Orbit Energy is insolvent after closing their doors following soaring gas prices

by LLB Finance Reporter
29th Nov 21 1:32 pm

Orbit Energy who had 65,000 customer ceased trading last week following soaring gas prices which has seen many energy suppliers go bust.

On Monday a judge in a specialist court concluded that the company was insolvent and Judge Nicholas Briggs heard Orbit Energy’s case in a hearing at the Insolvency & Companies Court.

Lawyers representing Orbit asked the judge to make an administration order, whilst Ofgem lawyers approved the move.

Judge Biggs told lawyers in the online hearing, that after considering evidence in to the firms finances, “It is patently obvious, in my judgment, that Orbit is insolvent and passes the test for insolvency.”

Barrister Daniel Bayfield QC, who led Orbit’s legal team told the judge that many companies have faced financial issues due to high energy costs.

Bayfield added, “The company is making significant losses and it is going to run out of money soon.”

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