UK resident client has completed some work for a US company and was paid after a short delay, in US dollars. Client banked the payment into US bank which promptly folded. So he is now waiting to see what the position is with the US bank authorities and whether he will ever receive the payment (or maybe a percentage of it). Strictly this does not look like a bad debt as he WAS paid by his client. Are there any tax cases or regulations that can help him out if the fees are lost for good?