Focus On: Company Director Disqualification

21 January 2022
2 minutes

The Insolvency Service recently concluded criminal proceedings against three men who were involved in the running of two hardware businesses in Swindon, despite having previously been disqualified as company directors.

Richard Brown Senior and Alan Roche ran Door Stores and Fire Secured Door Sets. Mr Brown’s son, Richard Brown Junior, along with Mr Roche, were listed as company directors for both businesses.

Mr Roach was made bankrupt in 2010 and was required to resign from the companies, while Mr Brown Senior was disqualified from acting as a Director due to unfit conduct at another company.

Door Stores went into liquidation in 2015, with all business then transferred to Fire Secured Door Sets. Both men were found to be actively, but illegitimately, involved in the daily running of the business. Mr Brown Junior, although listed as a company director, worked instead as a sales associate. All three were subsequently disqualified as company directors.

Mr Roach and Mr Brown Senior, however, continued with the management of Fire Secured Door Sets until it was dissolved in 2019.

The Insolvency Service launched criminal prosecutions against the men with Mr Brown Senior pleading guilty to 3 counts of acting in breach of a disqualification undertaking, while Mr Roche pleaded guilty to 1 count of acting in breach of a disqualification undertaking and two counts of acting as a director whilst being an undischarged bankrupt. Mr Brown Junior pleaded guilty to aiding and abetting both defendants in being concerned in the management of Door Stores.

At MKB Law, our Insolvency team regularly acts for directors in director disqualification cases and would advise anyone in such a situation to seek expert legal advice at the earliest opportunity.

This article is for general guidance only and should not be regarded as a substitute for professional legal advice.

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