The director of a fish and chip shop has been disqualified from being a company director for seven years for accounting failures following an Insolvency Service investigation.
Keith McGilvray, director of Frogfish fish and chips takeaway, failed to maintain and preserve the company’s accounting records.
In addition, Mr McGilvray had failed to prepare and file annual accounts, VAT returns, and monthly RTI PAYE Information. All of these duties are statutory obligations.
The business was placed into compulsory liquidation with liabilities of £94,808 on 9 June 2016 following a winding-up petition.
Mr McGilvray gave an undertaking to the Secretary of State for Business, Energy and Industrial Strategy that he will not act as a company director for seven years from 15 August.
Robert Clarke, Head of Company Investigation at the Insolvency Service, said: “Directors who operate cash-based businesses have to maintain sufficient records to explain where these monies have gone and following insolvency make sure that such records are delivered up for scrutiny by the relevant bodies.
“By failing to do this the public cannot be sure that all funds received by the company were used for legitimate purposes. The substantial period of this disqualification reflects the fact that when a company fails to keep adequate financial records it is simply not possible to determine whether there has been other, more serious, impropriety in relation to the management of its affairs.
“This ban should serve as a reminder to any directors tempted to do the same: the Insolvency Service will vigorously investigate you and seek to remove you from the marketplace.”
Directors’ duties solicitors in Eastbourne, Hailsham, Bexhill and Hastings
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