Tackling Director misconduct
12 May 2016

Official figures released from The Insolvency Service today report that more than 1,200 company directors have been disqualified in the twelve months up to March 2016, with 131 companies wound up in the public interest. These outcomes of official enforcement activity have seen Directors disqualified for anything from 2 to 15 years, in circumstances where there is evidence of unfit behaviour.

Of the 1,200 disqualifications in the past year, reasons vary from the employment of illegal workers (47 Directors for a combined total of 290 years) to the mis-selling of £500,000 worth of worthless Rare Earth Metals to the public (one Director for 14 years). There were also investigations into companies on the basis of misleading small businesses, making misleading claims, and falsifying credit records to secure significant funding. Finally, a large number of the disqualifications related to mishandling or mismanagement, and / or poor conduct in relation to Pension Pots.

The Insolvency Service has issued a full statement and overview of the disqualification on the gov.uk website.