Company Directors Disqualification

Instructed by the Secretary of State in director disqualification proceedings against a practising solicitor. Obtained an eight-year disqualification order.

Directors disqualification – whether directors who conducted an informal liquidation without making adequate provision for all creditors in particular HMRC were guilty of conduct which made them unfit to be a director of a company.

Directors disqualification – disqualification order made against director who caused 3 restaurant companies to fail to submit statutory returns to HMRC and traded to the detriment of HMRC by a policy of discrimination. Director’s assertions that he reasonably believed the position of the companies would improve were too uncertain and speculative and did not amount to extenuating circumstances.

Directors disqualification - whether the Claimant should be required to clarify allegations relating to a defendant’s involvement in an unauthorised collective investment scheme, which the Claimant alleged was unlawful pursuant to the Financial Services and Markets Act.

CDDA - Culpability of director for collapse of The Accident Group; corporate governance issues; competence of finance director; unlawful dividends.

Appeal against disqualification order; “causing” rather than “causing or allowing” fresh air invoicing; inference of actual knowledge; procedural fairness and amendment of charges.

Directors disqualification; amendment of r.3 statement in support of application should be allowed so as to bring real issues before the court if that could be achieved without substantial prejudice to defendant – however amendment allowed only subject to sanction in costs, including interim award of costs of £50,000 against SofS.

Directors disqualification; Class 1 transaction, extent of duties of CEO to ensure compliance with Listing Rules; whether CEO ought to have discovered cheque kiting; duties of non-executive director to investigate complaints.

Directors disqualification; test case on customer deposits; allegation of unfitness that directors had continued trading without taking adequate steps to protect deposits of cash paying customers of World of Leather furniture business. Directors continued trading with reasonable prospect of achieving a corporate solution and thereby avoiding insolvent liquidation and with the benefit of professional advice. Application dismissed.

Directors disqualification; the directors were entitled to have the case against them at trial strictly limited to the allegation of unfitness as clarified in a letter from the SofS’s solicitors.

Directors disqualification; correct procedure where the evidence in the affirmation in support of the application did not support the gravity of the allegations of unfitness. Pre-issue conduct by the SofS, duty of fairness and failure to interview director.

Whether trading whilst insolvent and non-payment of Crown Debts amounted to unfit conduct of directors.

Ability of the Official Receiver to use s236 in aid of pending disqualification proceedings.

Directors disqualification - principles applicable to Carecraft procedure.

Directors' disqualification - principles for striking out.

Directors' disqualification - indemnity costs against Secretary of State.

Directors' disqualification - meaning of s6 (1) (b).

Directors disqualification; whether failure of director of company to resign where company trading whilst insolvent was unfit conduct.

Directors' disqualification - principles of fairness.

Directors' disqualification - strike out.

Directors' disqualification - appeals.