Director Disqualification Specialists

Director Disqualification Specialists - Expertly minimising and avoiding Director DisqualificationsCALL NOW FOR A FREE INITIAL CONSULTATION ON 020 7884 9700

  • Responding to Insolvency Service enquiries
  • Defending disqualification Proceedings
  • Negotiating disqualification Undertakings
  • Obtaining permission to remain a director despite disqualification
  • Advice on possible breach of a disqualification Order

Director disqualification claims are complex and require specialist advice at each stage of the process in order to minimise your chances of being disqualified for between 2 and 15 years.

Our team of Disqualification specialists have the experience and a proven track record of helping directors avoid disqualification so that they can continue to operate and develop their businesses without interference.

“Mathew provided an outstanding level of service, his knowledge and focus to the detail in his area of specialism is exceptional. The level of professionalism and rapid response that I was provided was first class and on no occasion was there a need to chase up outstanding matters. I had complete trust in this company with the professional advice and services they provided. Working with HA Solicitors was a pleasure, I couldn’t recommend their services highly enough!”

TM – Director Disqualification Client

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OUR EXPERTISE

log off icon Examples of our work
Responding to Insolvency Service enquiries
Advising directors on their exposure to financial and disqualification sanctions following the liquidation of their previous businesses. Helping directors tactically respond to enquiries and questionnaires from the Insolvency Service to avoid disqualification....more

Directors must resist the temptation to respond to the Insolvency Service with too much guesswork or personal opinion, which isn’t supported by any physical evidence; alternatively, need to be clear where they do not know something to categorically be true, as all responses will be used by the Insolvency Service in any subsequent director disqualification proceedings that may follow.  Directors must stick to what they know and be prepared to be asked to provide evidence to support anything and everything that they say.

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Negotiating disqualification undertakings
Specialist advice is needed to minimise disqualification periods for directors where a disqualification is inevitable. Our Director Disqualification team are experienced at negotiating the terms and wording of a disqualification undertaking in order to minimise the knock-on effects of the disqualifi...more

cation and enable directors to continue acting a a director, despite the disqualification.

 

Get in touch for advice on how and when it is appropriate to issue a “Permission to Act” application.

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Defending director disqualification proceedings
Assisting directors with strategy and their defence of disqualification proceedings in order to force the withdrawal of proceedings or a successful outcome at final trial – with the costs of the proceedings being compensated by the Secretary o...more

f State.

Director disqualification claims are specialist proceedings that require expert tactical awareness and thorough investigation of the allegations facing the director, often alongside accountants, in order to disprove or minimise the strength of any allegations before launching a successful defence.

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Obtaining “Permission to Act” as director despite disqualification
Disqualification is not the end of the line for directors. We've an enviable track record of assisting disqualified directors continue their careers by obtaining the Court's “Permission” for directors to continue as a director of their new business, despite being disqualified. In doing so, we advi...more

se tactically on how best to obtain “permission”by carefully structuring a director’s business and strategically involving professionals and third parties to improve the prospects of an application.

 

Finally, we are experienced at negotiating the minimum possible “conditions” required by the Secretary of State in respect of a director’s ongoing directorship.

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Disqualification Calculator

live case reports

What is the correct Disqualification Period?  Take a look at our up-to-date live case reports of actual Director Disqualifications ordered by the Court or agreed by Undertaking.  For further details on any of the cases, please do get in touch.

Select any of the below “periods” to see live examples of recent Director Disqualifications

Disqualification period: 5 year Undertaking (September 2017)
Allegations: Withdrawing cash from the company to avoid paying HMRC; Creditors of £271,180
Case Summary: A director of a football company has been disqualified for 5 years after an investigation by the Insolvency Service concluded that the director had personally withdrawn at least £300,000 from the company, which the company accounts failed to disclose.  These withdrawals were in addition to amounts previously withdrawn by the director for his personal use but which the director had also failed to disclose.  It was found that the director had in fact withdrawn a total of £420,400 in cash from the company during the company’s trading but had failed to declare the whole amount.

Disqualification period: 4 year Undertaking (August 2017)
Allegations: Failure to submit or make payment of VAT Returns of £202,859
Case Summary: A director of a flooring factory outlet store failed to submit VAT returns or make payment of the assessments issued by HMRC; instead choosing to put the company into liquidation, resulting in an outstanding liability to HMRC of £202,859.

Disqualification period: 7 and 4 year Undertaking (July 2017)
Allegations: Failure to pay £1.4m tax from payroll companies
Case Summary: Two accountants who were directors of 4 payroll companies have been disqualified from acting as directors. Both directors caused all four companies to fail to pay Pay-As-You-Earn and National Insurance Contributions amounting to £1,242,616.  One of the directors was found to have allowed a Corporation Tax return not be filed, which triggered an assessed tax liability that was £168,520 less than the amount the director knew to be payable.

Disqualification period: 5 year Undertaking (June 2017)
Allegations: Under-declaring cash sales and VAT Returns
Case Summary: A director of a Chinese takeaway restaurant has accepted a 5 year undertaking for under-declaring cash sales (together with VAT); subsequently the director’s failure to pay the correct amount of VAT.  The company went into liquidation in 2015 owing £50,606 to its creditors.

Disqualification period: 5 year Court Order (April 2017)
Allegations: HMRC non-payment of £55,000 (VAT/CT/PAYE) despite excessive director drawings.
Case Summary: The middle-bracket disqualification followed the compulsory liquidation of a Scottish oil consultancy business in which the principal director failed to satisfy the company’s HMRC liabilities, despite paying himself c£379,000.  On the appointment of the liquidator, HMRC were the company’s only creditor.

Disqualification period: 3.5 year Undertaking (Sept 2016)
Allegations: Non-payment of VAT/PAYE (£90k).
Case Summary: Restauranteur disqualified for failing to make sure the company attended to its tax obligations leaving an estimated deficiency to creditors in excess of £178,000 and outstanding VAT and PAYE bills totalling £90,000.

Disqualification period: 5 years (May 2016)
Allegations: Non-payment of VAT/NIC/PAYE (£170k); unexplained cash withdrawals of £80,000.
Case Summary: The sole director of a community centre for arts and live music in Hackney has been disqualified by Court Order for failing to pay tax and failing to properly maintain and/or deliver up the company’s accounting records.

Disqualification period: 5 year Undertaking (June 2016)
Allegations: Non-payment of VAT/NIC/PAYE (£1,021,477); trading whilst insolvent; acting as director whilst disqualified.
Case Summary: Father and son directors have been disqualified for a combined eight and a half years (5 and 3.5 years respectively) for causing and allowing a company to trade whilst insolvent being at the risk of HMRC and to the father’s benefit.

ALL LIVE CASE REPORTS OF DIRECTOR DISQUALIFICATIONS ARE TAKEN FROM PUBLIC INSOLVENCY SERVICE ANNOUNCEMENTS AT  https://www.gov.uk/government/announcements

Disqualification period: 7 year Undertaking (October 2017)
Allegations: Under-declaring VAT; Liquidation Creditors of £110,236
Case Summary: A director of a company which operated as a generator of sales leads has been disqualified for 7 years. This is due to the director submitting incorrect VAT returns to HMRC which led to the company receiving £21,588 in VAT reclaims whereas at least £30,542 should have been paid to HMRC.

Disqualification period: 10 year Undertaking (October 2017)
Allegations: Making false claims to small business customers
Case Summary: A director of two companies has been banned for 10 years after falsely leading small business owners to believe that, for a fee, he could guarantee to reduce their business rates or they would receive a full refund.  After many complaints, the Insolvency Service opened an investigation and, finding that the director’s assurances were false, the company was wound up.  A number of small business owners were left out of pocket by over £34,000.

Disqualification period: 6 year Undertaking (September 2017)
Allegations: Employing illegal workers
Case Summary: Two directors of a takeaway restaurant have been disqualified as directors for 6 years following a Home Office Immigration Enforcement inspection, which found that the company employed 2 illegal workers. The restaurant was given a £20,000 “Notification of Liability for Civil Penalties” for employing illegal workers, which the company failed to pay and which remained outstanding at the company’s insolvency.

Disqualification period: 7 year Undertaking (September 2017)
Allegations: Failure to keep sufficient accounting records; Creditors of £2,072,180
Case Summary: Two directors of a company which operated flights from London to Sierra Leone have been disqualified for 7 years.  In addition to the substantial level of creditors in the company’s liquidation, the directors were unable to identify whether payments of £170,913 were genuine company expenditure – as a result of deficient company records.

Disqualification period: 7 year Undertaking (September 2017)
Allegations: Inadequate quality of hospital care; Creditors of £350,381
Case Summary: A director of a company which operated two hospitals has been banned for 7 years following an investigation by the Insolvency Service, which found the quality of care being given by the hospital was ‘inadequate’. The company had failed to report serious incidents including medicine errors and, in addition to various other issues, was also found to have locked a patient in their room for several weeks.

Disqualification period: 7 year Undertaking (September 2017)
Allegations: Failure to comply with licencing standards; Creditors of £841,566
Case Summary: A director of an employment agency has been disqualified for 7 years after failing to ensure that the company complied with licencing standards set out by the regulatory body. The director was deemed to be ‘not fit and proper’ to hold a licence as he was found not to have been truthful in his dealings with the regulatory body.  It was held that the director had not demonstrated a willingness to comply with the requirements of the regulatory system and with other legal requirements.

Disqualification period: 6 year Undertaking (September 2017)
AllegationsTransferring company funds to avoid paying taxes; Creditors of £140,314
Case Summary: A director of a furniture retailer has been disqualified for 6 years after knowingly withdrawing £42,000 from the company only 24 days before the company went into liquidation and notwithstanding a claim to the local council that the company didn’t have enough funds to make payments in respect of outstanding business rates.

Disqualification period: 8 year Undertaking (August 2017)
Allegations: Diverting income into personal bank account and a connected company; Failure to preserve accounting records
Case Summary: An Investigation by the Insolvency Service concluded that a director of a property development company diverted rental income totaling nearly £900,000 into his personal bank account and a connected company.  The director’s failure to maintain adequate financial records meant that the director was then unable to provide sufficient evidence as to whether £679,063 had ever been repaid to the company or was used for the benefit of the company’s creditors.

Disqualification period: 7 and 4 year Undertaking (July 2017)
Allegations: Failure to pay £1.4m tax from payroll companies
Case Summary: Two accountants who were directors of 4 payroll companies have been disqualified from acting as directors. Both directors caused all four companies to fail to pay Pay-As-You-Earn and National Insurance Contributions amounting to £1,242,616.  One of the directors was found to have allowed a Corporation Tax return not be filed, which triggered an assessed tax liability that was £168,520 less than the amount the director knew to be payable.

Disqualification period: 6 year Undertaking (July 2017)
Allegations: Failure to comply with the direct marketing legislation
Case Summary: A director of a “nuisance” call firm that made millions of automated direct marketing calls, which resulted in the Information Commissioners Office receiving 5,535 complaints, has accepted a 6-year disqualification undertaking.  The company received a fine from the Information Commissioners Office for £175,000 as a result of the breaches, which remained unpaid at the date of liquidation.

Disqualification period: 6.5 year Undertaking (June 2017)
Allegations: Failure to maintain company accounting records
Case Summary: A director of ice cream and fast food outlets in Manchester has been disqualified for 6.5 years for failing to ensure the company maintained proper accounting records. Following the company’s Voluntary Liquidation in September 2014 (with an estimated deficiency of £373,839), the absence of complete accounting records made it impossible for the liquidators to confirm the underlying position regarding an alleged sale of a substantial asset in run-up to the liquidation.

Disqualification period: 9 year Undertaking (August 2017)
Allegations: Failure to keep records / Creditors of £2,119,589
Case Summary: The director of a company which traded in fizzy drinks, car parts and accident data has been disqualified for 9 years for failing to ensure the company maintained sufficient accounting records, which resulted in the company being unable to account for or explain numerous substantial payments out of the company’s account.

Disqualification period: 9 year Undertaking (August 2017)
Allegations: Failure to disclose the existence of a winding up petition when entering into a joint loan facility agreement.
Case Summary: A director of a television programming and broadcasting business, which went into voluntary liquidation in 2015, has been disqualified as a Director for 9 years for failing to disclose that a Winding-Up Petition had been issued against the company before entering into a joint loan facility agreement. The company drew down £523,396 in breach of the terms and conditions of the agreement, whilst also owing £1,975,128 to creditors.

Disqualification period: 7 year Undertaking (July 2017)
Allegations: Breach of fiduciary duty not to place personal interests over those of the company.
Case Summary: A director of a well-known pizza franchise has been disqualified for 7 years by undertaking for breaching his fiduciary duties as director in that he unreasonably caused payments of at least £205,000 to be made to a partnership in which he had a personal interest.

Disqualification period: 7 year Undertaking (August 2017)
Allegations: Failure to maintain company accounting records.
Case Summary: A director of a Fish and Chip takeaway in Aberdeen has been disqualified for 7 years for failing to ensure the company maintained proper accounting records. The company had liabilities of £94,808 and was placed into compulsory liquidation following a Winding- Up Petition filed by HM Revenue & Customs.

Disqualification period: 6 year Undertaking (July 2017)
Allegations: Failure to comply with immigration law
Case Summary: An Indian restaurant director has been disqualified for 6 years for failing to carry out full immigration checks and retaining the relevant documentation, which resulted in the employment of an illegal worker; also a penalty notice of £15,000 issued by the Home Office. The restaurant was placed into Liquidation in August 2016.

Disqualification period: 6 year Undertaking (April 2017)
Allegations: Trading to the detriment of HMRC (c£58,000).
Case SummaryThe director of the company, which operated a petrol station in Oldham, caused the company to trade the detriment of HMRC by (i) causing it to sell diesel which did not bear duty at the full rate and (ii) causing the company to suppress sales of illicit diesel.  The company received an HMRC assessment and penalty totalling combined c£58,000.

Disqualification period: 7 year Undertaking (February 2017)
Allegations: Failure to keep records / Creditors of £895,352.
Case Summary: Heating company Director has been disqualified for failing to keep adequate accounting records explaining over £500k of payments and for causing the company to distribute advertising and marketing material in breach of advertising industry codes (through cold calling).

Disqualification period: 8 years (October 2016)
Allegations: Failure to pay HMRC liability of £191,136; personal payments of £423,024 at time when company was insolvent.
Case Summary: IT Consultant disqualified for failure to pay the company’s HMRC liability and, after communicating an intention to liquidate the company, paying over £40,000 to himself and his family.

Disqualification period: 6-8 years (July 2016)
Allegations: Employing illegal workers; attempting to avoid resulting fines by liquidating companies.
Case Summary: 9 Directors of six restaurants from Lincolnshire to West Sussex have been disqualified for between 6 and 8 years for breaches of immigration law and for placing their businesses into liquidation in order to avoid paying the fines imposed for employing illegal workers.

Disqualification period: 7 year Court Order (April 2016)
Allegations: Employing illegal workers; creditors of £139,622, including fines of £25,000.
Case Summary: Director of a Bristol based Hotel company disqualified for employing five workers who were not eligible to work in the UK; company owing £139,622 to creditors including fines imposed by Home Office Immigration and Enforcement for employing illegal workers.

Disqualification period: 8 years (July 2016)
Allegations: Non-payment of VAT (£134,438) and PAYE/NIC (£35,369); trading to the detriment of HMRC.
Case Summary: Two directors of a company that provided management accounting services to schools have been disqualified for neglecting the company’s tax affairs.

Disqualification period: 8.5 year Undertaking (April 2016)
Allegations: Non-payment of VAT (£509,370); unexplained transactions totalling £1,142,960.
Case Summary: Haulier disqualified by Undertaking for failing to properly deal with the company’s tax affairs, particularly in regards to VAT; also for failing to ensure that adequate and complete accounting records were maintained by the company.

Disqualification period: 7 year Undertaking (May 2016)
Allegations: Acting to the detriment of customers; breach of consumer protection legislation.
Case Summary: The Insolvency Service found the company failed to deal with complaints received from customers in accordance with the law and of the company’s liabilities of £198,780 at liquidation, £81,485 related to losses incurred by customers as a result of the company’s breaches of consumer protection legislation.

ALL LIVE CASE REPORTS OF DIRECTOR DISQUALIFICATIONS ARE TAKEN FROM PUBLIC INSOLVENCY SERVICE ANNOUNCEMENTS AT  https://www.gov.uk/government/announcements

Disqualification period: 14 year Order (November 2017)
Allegations: Faking death to avoid disqualification; Creditors of £15,705
Case Summary: A director of a “sham” company which was wound up in the Public Interest by the Insolvency Service in September 2016 has been disqualified for 14 years. In the days leading up to the disqualification hearing, the solicitors for the Insolvency Service received a call from a man with a different name claiming that the director had in fact committed suicide. The Registrar did not accept that the said director had died and held that the director and ‘friend’ were one and the same, given the director’s history of forging documents, including fictitious company accounts.

Disqualification period: 11 year Undertaking (September 2017)
Allegations: Fraudulently reclaiming VAT; £409,990 creditor liability
Case Summary: A director of a property company has been disqualified as a director for 11 years and was sentenced to 2 years imprisonment. A criminal investigation by HM Revenue and Customs found that the director had fraudulently reclaimed VAT in the sum of £275,000 between 2008 – 2013.  The company’s insolvency also left behind substantial creditors.

Disqualification period: 11 year Undertaking (September 2017)
Allegations: Misappropriating company funds of at least £2 million
Case Summary: A director of a company managing artists’ copyrights has received an 11 year ban as a result of making company payments of at least £2 million into the director’s personal accounts for the director’s own benefit.  The director was found to have concealed his actions by making sure that the payments did not appear in the company’s financial accounts and by restricting access to the company’s bank statements.

Disqualification period: 11 year Undertaking (September 2017)
Allegations: Fraudulent application for a £1.3m loan; creditors of £497,036
Case Summary: A former dentist who was also a bankrupt has been struck off for dishonesty and poor clinical care.  Along with another bankrupt GP, both directors have been disqualified from acting as directors for 11 years after making false representations to a financial company in their application for a loan totaling £1.3 million and leaving behind substantial creditors.

Disqualification period: 12 year Court Order (August 2017)
Allegations: Failure to comply with FCA rules and guidance; £8m creditors
Case Summary: A director of a brokerage firm has been banned from acting as a director for 12 years for failing to ensure that both the company and the director personally complied with FCA’s rules and guidance.  The FCA requirements were imposed following a proposed conditional sale of the company to a multinational group of companies, which ultimately did not complete. The Company’s subsequent insolvency included over £8 million of creditors.

Disqualification period: 15 years (August 2016)
Allegations: Involvement in fraudulent evasion of VAT; wrongful tax reclaims of £19,376,461 from HMRC.
Case Summary: Director of a mobile phone wholesaler disqualified for the maximum period for his involvement in tax evasion and wrongful tax reclaims, which he either knew of or ought reasonably to have known of.

Disqualification period: 12 years (July 2016)
Allegations: Fraud causing £264,497 loss to suppliers and creditors of £506,937 at liquidation.
Case Summary: The former director of a company set up to provide scaffolding hire and other related services has been disqualified by Court Order following a Winding up Petition by HMRC.

Disqualification period: 11 years (May 2016)
Allegations: Diverting company funds to personal accounts (£161,800); failure to maintain accounting records; filing inaccurate financial statements at Companies House.
Case Summary: Directors of digital and mobile healthcare software company have been disqualified for 20 years (11 and 9 years between them) for falsifying accounts and manipulating bank data.

Disqualification period: 14 years (April 2016)
Allegations: Misleading public with sham investments.
Case Summary: The director of the carbon credits company made sales totalling £681,000 by cold calling members of the public to sell them Voluntary Emission Reductions charging them two and five times the price it had paid its supplier making them a non-viable investment.

Disqualification period: 14 years (March 2016)
Allegations: Misleading public with sham investments.
Case Summary: Director responsible for sales of approximately half a million pounds by cold calling members of the public to sell them Rare Earth Metals. The REMs sold to members of the public were wholly unsuitable as an investment as there was no market for REMs without industry certification and in the quantities sold by NFA.

ALL LIVE CASE REPORTS OF DIRECTOR DISQUALIFICATIONS ARE TAKEN FROM PUBLIC INSOLVENCY SERVICE ANNOUNCEMENTS AT  https://www.gov.uk/government/announcements

Disqualification period: 14 year Order (November 2017)
Allegations: Faking death to avoid disqualification; Creditors of £15,705
Case Summary: A director of a “sham” company which was wound up in the Public Interest by the Insolvency Service in September 2016 has been disqualified for 14 years. In the days leading up to the disqualification hearing, the solicitors for the Insolvency Service received a call from a man with a different name claiming that the director had in fact committed suicide. The Registrar did not accept that the said director had died and held that the director and ‘friend’ were one and the same, given the director’s history of forging documents, including fictitious company accounts.

Disqualification period: 7 year Undertaking (October 2017)
Allegations: Under-declaring VAT; Liquidation Creditors of £110,236
Case Summary: A director of a company which operated as a generator of sales leads has been disqualified for 7 years. This is due to the director submitting incorrect VAT returns to HMRC which led to the company receiving £21,588 in VAT reclaims whereas at least £30,542 should have been paid to HMRC.

Disqualification period: 10 year Undertaking (October 2017)
Allegations: Making false claims to small business customers
Case Summary: A director of two companies has been banned for 10 years after falsely leading small business owners to believe that, for a fee, he could guarantee to reduce their business rates or they would receive a full refund.  After many complaints, the Insolvency Service opened an investigation and, finding that the director’s assurances were false, the company was wound up.  A number of small business owners were left out of pocket by over £34,000.

Disqualification period: 6 year Undertaking (September 2017)
Allegations: Employing illegal workers
Case Summary: Two directors of a takeaway restaurant have been disqualified as directors for 6 years following a Home Office Immigration Enforcement inspection, which found that the company employed 2 illegal workers. The restaurant was given a £20,000 “Notification of Liability for Civil Penalties” for employing illegal workers, which the company failed to pay and which remained outstanding at the company’s insolvency.

Disqualification period: 7 year Undertaking (September 2017)
Allegations: Failure to keep sufficient accounting records; Creditors of £2,072,180
Case Summary: Two directors of a company which operated flights from London to Sierra Leone have been disqualified for 7 years.  In addition to the substantial level of creditors in the company’s liquidation, the directors were unable to identify whether payments of £170,913 were genuine company expenditure – as a result of deficient company records.

Disqualification period: 11 year Undertaking (September 2017)
Allegations: Fraudulently reclaiming VAT; £409,990 creditor liability
Case Summary: A director of a property company has been disqualified as a director for 11 years and was sentenced to 2 years imprisonment. A criminal investigation by HM Revenue and Customs found that the director had fraudulently reclaimed VAT in the sum of £275,000 between 2008 – 2013.  The company’s insolvency also left behind substantial creditors.

Disqualification period: 11 year Undertaking (September 2017)
Allegations: Misappropriating company funds of at least £2 million
Case Summary: A director of a company managing artists’ copyrights has received an 11 year ban as a result of making company payments of at least £2 million into the director’s personal accounts for the director’s own benefit.  The director was found to have concealed his actions by making sure that the payments did not appear in the company’s financial accounts and by restricting access to the company’s bank statements.

Disqualification period: 5 year Undertaking (September 2017)
Allegations: Withdrawing cash from the company to avoid paying HMRC; Creditors of £271,180
Case Summary: A director of a football company has been disqualified for 5 years after an investigation by the Insolvency Service concluded that the director had personally withdrawn at least £300,000 from the company, which the company accounts failed to disclose.  These withdrawals were in addition to amounts previously withdrawn by the director for his personal use but which the director had also failed to disclose.  It was found that the director had in fact withdrawn a total of £420,400 in cash from the company during the company’s trading but had failed to declare the whole amount.

Disqualification period: 7 year Undertaking (September 2017)
Allegations: Inadequate quality of hospital care; Creditors of £350,381
Case Summary: A director of a company which operated two hospitals has been banned for 7 years following an investigation by the Insolvency Service, which found the quality of care being given by the hospital was ‘inadequate’. The company had failed to report serious incidents including medicine errors and, in addition to various other issues, was also found to have locked a patient in their room for several weeks.

Disqualification period: 7 year Undertaking (September 2017)
Allegations: Failure to comply with licencing standards; Creditors of £841,566
Case Summary: A director of an employment agency has been disqualified for 7 years after failing to ensure that the company complied with licencing standards set out by the regulatory body. The director was deemed to be ‘not fit and proper’ to hold a licence as he was found not to have been truthful in his dealings with the regulatory body.  It was held that the director had not demonstrated a willingness to comply with the requirements of the regulatory system and with other legal requirements.

Disqualification period: 6 year Undertaking (September 2017)
Allegations:Transferring company funds to avoid paying taxes; Creditors of £140,314
Case Summary: A director of a furniture retailer has been disqualified for 6 years after knowingly withdrawing £42,000 from the company only 24 days before the company went into liquidation and notwithstanding a claim to the local council that the company didn’t have enough funds to make payments in respect of outstanding business rates.

Disqualification period: 11 year Undertaking (September 2017)
Allegations: Fraudulent application for a £1.3m loan; creditors of £497,036
Case Summary: A former dentist who was also a bankrupt has been struck off for dishonesty and poor clinical care.  Along with another bankrupt GP, both directors have been disqualified from acting as directors for 11 years after making false representations to a financial company in their application for a loan totaling £1.3 million and leaving behind substantial creditors.

Disqualification period: 8 year Undertaking (August 2017)
Allegations: Diverting income into personal bank account and a connected company; Failure to preserve accounting records
Case Summary: An Investigation by the Insolvency Service concluded that a director of a property development company diverted rental income totaling nearly £900,000 into his personal bank account and a connected company.  The director’s failure to maintain adequate financial records meant that the director was then unable to provide sufficient evidence as to whether £679,063 had ever been repaid to the company or was used for the benefit of the company’s creditors.

Disqualification period: 12 year Court Order (August 2017)
Allegations: Failure to comply with FCA rules and guidance; £8m creditors
Case Summary: A director of a brokerage firm has been banned from acting as a director for 12 years for failing to ensure that both the company and the director personally complied with FCA’s rules and guidance.  The FCA requirements were imposed following a proposed conditional sale of the company to a multinational group of companies, which ultimately did not complete. The Company’s subsequent insolvency included over £8 million of creditors.

Disqualification period: 4 year Undertaking (August 2017)
Allegations: Failure to submit or make payment of VAT Returns of £202,859
Case Summary: A director of a flooring factory outlet store failed to submit VAT returns or make payment of the assessments issued by HMRC; instead choosing to put the company into liquidation, resulting in an outstanding liability to HMRC of £202,859.

Disqualification period: 7 and 4 year Undertaking (July 2017)
Allegations: Failure to pay £1.4m tax from payroll companies
Case Summary: Two accountants who were directors of 4 payroll companies have been disqualified from acting as directors. Both directors caused all four companies to fail to pay Pay-As-You-Earn and National Insurance Contributions amounting to £1,242,616.  One of the directors was found to have allowed a Corporation Tax return not be filed, which triggered an assessed tax liability that was £168,520 less than the amount the director knew to be payable.

Disqualification period: 6 year Undertaking (July 2017)
Allegations: Failure to comply with the direct marketing legislation
Case Summary: A director of a “nuisance” call firm that made millions of automated direct marketing calls, which resulted in the Information Commissioners Office receiving 5,535 complaints, has accepted a 6-year disqualification undertaking.  The company received a fine from the Information Commissioners Office for £175,000 as a result of the breaches, which remained unpaid at the date of liquidation.

Disqualification period: 5 year Undertaking (June 2017)
Allegations: Under-declaring cash sales and VAT Returns
Case Summary: A director of a Chinese takeaway restaurant has accepted a 5 year undertaking for under-declaring cash sales (together with VAT); subsequently the director’s failure to pay the correct amount of VAT.  The company went into liquidation in 2015 owing £50,606 to its creditors.

Disqualification period: 6.5 year Undertaking (June 2017)
Allegations: Failure to maintain company accounting records
Case Summary: A director of ice cream and fast food outlets in Manchester has been disqualified for 6.5 years for failing to ensure the company maintained proper accounting records. Following the company’s Voluntary Liquidation in September 2014 (with an estimated deficiency of £373,839), the absence of complete accounting records made it impossible for the liquidators to confirm the underlying position regarding an alleged sale of a substantial asset in run-up to the liquidation.

Disqualification period: 9 year Undertaking (August 2017)
Allegations: Failure to keep records / Creditors of £2,119,589
Case Summary: The director of a company which traded in fizzy drinks, car parts and accident data has been disqualified for 9 years for failing to ensure the company maintained sufficient accounting records, which resulted in the company being unable to account for or explain numerous substantial payments out of the company’s account.

Disqualification period: 9 year Undertaking (August 2017)
Allegations: Failure to disclose the existence of a winding up petition when entering into a joint loan facility agreement.
Case Summary: A director of a television programming and broadcasting business, which went into voluntary liquidation in 2015, has been disqualified as a Director for 9 years for failing to disclose that a Winding-Up Petition had been issued against the company before entering into a joint loan facility agreement. The company drew down £523,396 in breach of the terms and conditions of the agreement, whilst also owing £1,975,128 to creditors.

Disqualification period: 7 year Undertaking (July 2017)
Allegations: Breach of fiduciary duty not to place personal interests over those of the company.
Case Summary: A director of a well-known pizza franchise has been disqualified for 7 years by undertaking for breaching his fiduciary duties as director in that he unreasonably caused payments of at least £205,000 to be made to a partnership in which he had a personal interest.

Disqualification period: 7 year Undertaking (August 2017)
Allegations: Failure to maintain company accounting records.
Case Summary: A director of a Fish and Chip takeaway in Aberdeen has been disqualified for 7 years for failing to ensure the company maintained proper accounting records. The company had liabilities of £94,808 and was placed into compulsory liquidation following a Winding- Up Petition filed by HM Revenue & Customs.

Disqualification period: 6 year Undertaking (July 2017)
Allegations: Failure to comply with immigration law
Case Summary: An Indian restaurant director has been disqualified for 6 years for failing to carry out full immigration checks and retaining the relevant documentation, which resulted in the employment of an illegal worker; also a penalty notice of £15,000 issued by the Home Office. The restaurant was placed into Liquidation in August 2016.

Disqualification period: 6 year Undertaking (April 2017)
Allegations: Trading to the detriment of HMRC (c£58,000).
Case SummaryThe director of the company, which operated a petrol station in Oldham, caused the company to trade the detriment of HMRC by (i) causing it to sell diesel which did not bear duty at the full rate and (ii) causing the company to suppress sales of illicit diesel.  The company received an HMRC assessment and penalty totalling combined c£58,000.

Disqualification period: 5 year Court Order (April 2017)
Allegations: HMRC non-payment of £55,000 (VAT/CT/PAYE) despite excessive director drawings.
Case Summary: The middle-bracket disqualification followed the compulsory liquidation of a Scottish oil consultancy business in which the principal director failed to satisfy the company’s HMRC liabilities, despite paying himself c£379,000.  On the appointment of the liquidator, HMRC were the company’s only creditor.

Disqualification period: 7 year Undertaking (February 2017)
Allegations: Employing illegal workers / Creditors of £223,547.
Case Summary: An Indian restaurant Director has been disqualified after Home Office Immigration Enforcement Officers established the restaurant was employing five workers who were not eligible to work in the UK.

Disqualification period: 7 year Undertaking (February 2017)
Allegations: Failure to keep records / Creditors of £895,352.
Case Summary: Heating company Director has been disqualified for failing to keep adequate accounting records explaining over £500k of payments and for causing the company to distribute advertising and marketing material in breach of advertising industry codes (through cold calling).

Disqualification period: 15 years (August 2016)
Allegations: Involvement in fraudulent evasion of VAT; wrongful tax reclaims of £19,376,461 from HMRC.
Case Summary: Director of a mobile phone wholesaler disqualified for the maximum period for his involvement in tax evasion and wrongful tax reclaims, which he either knew of or ought reasonably to have known of.

Disqualification period: 8 years (October 2016)
Allegations: Failure to pay HMRC liability of £191,136; personal payments of £423,024 at time when company was insolvent.
Case Summary: IT Consultant disqualified for failure to pay the company’s HMRC liability and, after communicating an intention to liquidate the company, paying over £40,000 to himself and his family.

Disqualification period: 3.5 year Undertaking (Sept 2016)
Allegations: Non-payment of VAT/PAYE (£90k).
Case Summary: Restauranteur disqualified for failing to make sure the company attended to its tax obligations leaving an estimated deficiency to creditors in excess of £178,000 and outstanding VAT and PAYE bills totalling £90,000.

Disqualification period: 6-8 years (July 2016)
Allegations: Employing illegal workers; attempting to avoid resulting fines by liquidating companies.
Case Summary: 9 Directors of six restaurants from Lincolnshire to West Sussex have been disqualified for between 6 and 8 years for breaches of immigration law and for placing their businesses into liquidation in order to avoid paying the fines imposed for employing illegal workers.

Disqualification period: 8 years (July 2016)
Allegations: Non-payment of VAT (£134,438) and PAYE/NIC (£35,369); trading to the detriment of HMRC.
Case Summary: Two directors of a company that provided management accounting services to schools have been disqualified for neglecting the company’s tax affairs.

Disqualification period: 12 years (July 2016)
Allegations: Fraud causing £264,497 loss to suppliers and creditors of £506,937 at liquidation.
Case Summary: The former director of a company set up to provide scaffolding hire and other related services has been disqualified by Court Order following a Winding up Petition by HMRC.

Disqualification period: 5 years (May 2016)
Allegations: Non-payment of VAT/NIC/PAYE (£170k); unexplained cash withdrawals of £80,000.
Case Summary: The sole director of a community centre for arts and live music in Hackney has been disqualified by Court Order for failing to pay tax and failing to properly maintain and/or deliver up the company’s accounting records.

Disqualification period: 11 years (May 2016)
Allegations: Diverting company funds to personal accounts (£161,800); failure to maintain accounting records; filing inaccurate financial statements at Companies House.
Case Summary: Directors of digital and mobile healthcare software company have been disqualified for 20 years (11 and 9 years between them) for falsifying accounts and manipulating bank data.

Disqualification period: 8.5 years (April 2016)
Allegations: Non-payment of VAT (£509,370); unexplained transactions totalling £1,142,960.
Case Summary: Haulier disqualified by Undertaking for failing to properly deal with the company’s tax affairs, particularly in regards to VAT; also for failing to ensure that adequate and complete accounting records were maintained by the company.

Disqualification period: 14 years (April 2016)
Allegations: Misleading public with sham investments.
Case Summary: The director of the carbon credits company made sales totalling £681,000 by cold calling members of the public to sell them Voluntary Emission Reductions charging them two and five times the price it had paid its supplier making them a non-viable investment.

ALL LIVE CASE REPORTS OF DIRECTOR DISQUALIFICATIONS ARE TAKEN FROM PUBLIC INSOLVENCY SERVICE ANNOUNCEMENTS AT  https://www.gov.uk/government/announcements

How our Clients rate us?

5.00 Average

6 Reviews

Kirsty M

Niki Avraam is a superb employment lawyer and has given us very good advice over the years. As a firm they are astute, commercially aware people who demonstrate care and professionalism in all that they do.

Posted 5 months ago

Anonymous

I am very pleased with the service from Howat Avrraam Solicitors. Frezyderm UK

Posted 6 months ago

Sally S

Niki was a wonderful support at a time I really needed expert legal advice. She ensured a fair outcome and was always available for discussions about my case. I can't recommend Niki highly enough.

Posted 7 months ago

Chris A

I needed urgent legal support on an employment settlement aggreement and their swift response and concise professional opinion and recomendation really took the pressure off.

Posted 8 months ago

Graham H

Howat Avraam Solicitors’ proposition to effectively be our in-house legal team was precisely what we needed as a start-up company. From Company registration to a Shareholders’ Agreement, Company Secretarial duties, advice on Board structure, commercial contracts from office leases to aircraft acquisition and, remarkably, Directors’ and Staff employment contracts, all under one roof! They are totally professional and easy to deal with and I believe that this is the future of legal support. I cannot recommend them highly enough.

Posted 9 months ago

Steve A

Selling the company that I founded 20 years ago was a stressful experience but Matthew, Niki and their team couldn’t have done more to ease the process. Their personal and no-nonsense approach demystified the legal process and got the job done with minimal fuss.

Posted 9 months ago

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