MDCCCLXVI, on 05 May 2016 - 03:33 PM, said:
But if a business of which Turner and Sutcliffe are directors folds - and I guess that's a euphemism for bankruptcy, doesn't it mean they're barred from holding similar positions elsewhere?
Especially if there's a long list of suppliers, staff and parents owed a great deal of money.
Then how does it appear if one of those creditors is the football club where Turner and Sutcliffe have senior positions?
If an individual is made bankrupt, he is automatically disqualified from being a director.
A director of a company can be disqualified if they are deemed unfit.
Unfit conduct’ includes:
allowing a company to continue trading when it can’t pay its debts
not keeping proper company accounting records
not sending accounts and returns to Companies House
not paying tax owed by the company
using company money or assets for personal benefit
However such a director has to be reported to the Insolvency Service, and investigated by them. In reality one sees very few disqualification orders for unfit conduct, even when companies fail.