The directors of George Hunter (Demolishers) Limited have been disqualified for allowing the company to continue to incur liabilities despite knowing a petition to wind the company up was before the*court.
George Beattie (senior) signed a seven year disqualification undertaking on the 12 April 2017; Michelle Beattie signed a three years and six month disqualification and George Beattie (junior) was disqualified on 31 May 2017 from acting as a director of a limited company by Order of the Glasgow Sheriff?s Court for seven years.
On 20 April 2015, George Hunter (Demolishers) Limited was placed into Liquidation with an estimated deficiency to creditors of ?1,755,782.
An investigation by the Insolvency Service revealed the directors had caused or allowed the company to trade to their own benefit and incur further liabilities to the risk and detriment of creditors in full knowledge that HMRC had presented a winding up petition to Court on 14 January 2015 and the company?s liquidation on 20 April 2015.
Despite knowing this, the directors made net payments of at least ?155,310.45 to the benefit of connected parties and further offset liabilities due to the company from the directors and connected companies of at least ?457,395.72 against unverified charges to the detriment of creditors as liabilities increased by at least ?359,097.33.
Rob Clarke, Head of Insolvent Investigations North, part of the Insolvency Service, said:
This was a cynical attempt by the directors, in the clear knowledge that their company was insolvent, to extract money that should have been paid to other creditors.
The Insolvency Service will take robust action against this sort of misconduct which is a clear abuse of limited liability