Trouble

How can someone who has been banned from being a company director get around this??

I don't want to go into too many details, but I'm pretty sure the company I work for I think has been bought by someone who this has happened to. He also is being investigated by the DTI.........

Nick

A director does not own the company, the shareholders own it. So someone having bought the company could hold 51% of shares & appoint his own proxy as a director.

Trouble

So, someone who has been banned can still mess up a company by getting the directors to do as he says!! OMG, this does not look good for the 50 staff who work here........

corradoboy

What would happen to a company director if the IOCD found out that at the time he was gaining his directors qualifications, he was being investigated for a serious physical assault on an employees spouse?

Trouble

What annoys me is that a previously lucrative business is being bled dry by this man. The directors are going to be the ones who are left holding the bill.

This isn't legal surely???

Nick

The directors run the company & are legally & personally responsible for running it correctly & within the law.

carl

"Directors Qualifications"? You don't need any qualifications to become a director.

carl

You can check on the Companies House website (www.companieshouse.gov.uk) to see if he's listed as a disqualified director. Disqualifications are for a period of time -- once it's up he's free to become a director again.

juan

innocent until proven guilty??
but as has been said, you don't need any qualifications

MJW

The guy in question is not forced to be an actual director of the firm - in my previous experience I have come across companies run by banned directors who have simply put their wife's name up instead of their own. In fact I know of one particular guy who has done this 5 times now and has been bankrupt each time - only problem is he is now running out of relatives who are willing to be directors. Which is just as well as the motherf***er rolled me for £12k at the end of last year and if I ever meet him again there will be 'stern words'.

You do not need any qualifications to be a Director and the IOCD is load of tosh - more like an exclusive golf club than an organisation that actually does anything. Although they do do a cheap rate credit card

Redkop

The Inland Revenue call it 'Phoenixism'

farmer1

I know somebody who has gone bankcrupt before or his business did. he was banned from being I director for 3 years anyway he got back into business 3 years later and is now a multi-milionaire.

It is possible for people to learn from their original mistakes. Did the guy fail the business before or was he bleeding it dry?

Diablo

Not quite

Phoenixism is generally same directors/shareholders starting up a newco after one has failed.

Its not always a bad thing, and is a useful tool if used propertly.

Disqualified directors can and do continue to run businesses, but its against the law. Its a civil, not a criminal matter.

Wifes, sisters, children, grannies, mates and puppets are appointed, but the disqualified director runs the show.

If you suspect its happening, contact the Insolvency Service disqualification unit and report it.

D