Whilst not wishing to impugn the CAB or other "approved intermediarys" the way Debt Relief Orders (DROs) were introduced by the Tribunals, Courts and Enforcement Act 2007 was bound to cause the problems above. If the government and draftsmen could not see this kind of thing happening, then what confidence in their ability to handle national debts and rogue banks?
Readers might be interested in Stephen Godfrey-v-A2 Dominion Homes Ltd from Court of Appeal at 18/7/2011. It seems that courts cannot include arrears in suspended or postponed order if defendant already has a DRO, only costs can be included. Outcome for some therefore might be an outright order rather than suspended/postponed leading to more homelessness and irrecoverable debt for landlords!
Was this the intention of DROs and Parliament?