James Elliott Pemble of All Marquees Ltd has been disqualified for five years for transferring company's money to himself and other parties.
The director of All Marquees Ltd, Mr James Elliott Pemble, has been disqualified for five years for transferring at least 144,427 of All Marquees Ltds money to himself and to connected parties.
An insolvency Service investigation found the transfer was for no apparent benefit to All Marquees Ltd, at a time when the company was insolvent.
Before All Marquees Ltd, Mr Pemble had been the director of three previous marquee hire companies that all entered liquidation. During his directorship of All Marquees Ltd Mr Pemble was also trading at least 3 other businesses which operated in the entertainment and leisure industry, on a sole trader basis. Much of the 144,427 was used to fund Mr Pembles other business entities.
The transactions referred to above took place between 7 September 2012 and 6 May 2014. Between these dates, All Marquees Ltd issued 55 cheques to the value of 158,716 which were dishonored and 3 CCJs totaling 16,515 were made against All Marquees Ltd. The CCJs were still outstanding as at the date of liquidation when All Marquees Ltd had liabilities totaling 200,877.
Mr Pemble failed to attend upon the Official Receiver to provide an explanation for the use of the 144,427 and the Official Receiver was unable to identify any benefit to All Marquees Ltd for the use of these funds in the records for the company that were delivered up.
Commenting on the disqualification, Andrew Stanley, Official Receiver Chatham at The Insolvency Service, said:
A director owes a fiduciary duty to a company to act in its best interest, rather than for their own personal benefit. Mr Pemble chose to use company funds for his own personal benefit and that of his other business entities at a time that All Marquees Ltd was insolvent. He demonstrated a disregard to All Marquees Ltds own creditors who have suffered as a result of his actions.
Directors should note that the Insolvency Service will take appropriate action to remove them from the business community when their conduct falls below the standard expected and results in the company being subject to a compulsory liquidation.