Michelle Saunders and Nigel Saunders, both directors of The Aesthetic and Dental Clinic Limited (The Dental Clinic), a dental practice, which offered an extensive range of non surgical, cosmetic dentistry, beauty and aesthetic treatments, have been banned from being company directors for 7 years and 6 years respectively.
The disqualifications follow an investigation by the Insolvency Service, which found the directors caused or allowed The Dental Clinic to trade at unreasonable risk and to the detriment of, members of the general public from December 2012 to March 2013. This resulted in losses to customers and providers of a deal of the day recommendation service of at least 90,928.
By the time The Dental Clinic entered liquidation, the liquidator had received 93 claims from patients for unfinished dental work paid for in advance.
Nigel Saunders and Michelle Saunders were directors from 21 March 2011 to the date of liquidation. The Company went into Liquidation on 22 March 2013 with an estimated deficiency of 240,751.
The Dental Clinic entered liquidation on 22 March 2013 with a deficiency of 240,751.
Nigel Saunders gave an undertaking to the Secretary of State for Business, Innovation and Skills on 7 July 2014 which prevents him from being directly or indirectly becoming involved in the promotion formation or management of a company until 7 August 2020.
A disqualification order was made against Michelle Saunders in the County Court sitting at Welshpool on 10 September 2015 which prevents her from being directly or indirectly becoming involved in the promotion formation or management of a company for a period of 7 years.
Commenting on the disqualification, Sue MacLeod, Chief Investigator at The Insolvency Service, said:
Company Directors should note from this enforcement result that any action which puts creditors at unreasonable risk; especially where it involves members of the general public, is likely to lead to serious censure.
Jane Knight, Senior Investigator, Insolvent Investigations Midlands and West said:
The disqualification order made in this case sends a clear message to other company directors that if they run a business in a way that is detrimental to either its customers or its creditors, they will be investigated by the Insolvency Service and removed from the business environment for a long time.
Limited liability protection is only available to those who comply with their obligations as company directors. If those obligations are ignored, that protection will be withdrawn.