Bradly Edward Carter, director of Dr Spafish Limited (Spafish), which offered fish pedicures, has been disqualified from acting as a director for seven years for failing to maintain adequate accounting records.
The disqualification, which started on 24 October 2013, follows an investigation by the Insolvency Service.
Mr Carter (44) gave an undertaking to the Secretary of State for Business, Innovation & Skills not to be involved in the promotion, formation or management of a company until October 2020.
Spafish had stores across the country offering fish pedicures. The company, which also sold franchises, started trading in August 2010 and went into liquidation on 28 November 2011, owing 788,968 to creditors.
The investigation showed that due to the insufficient accounting records for the entire trading period, it was not possible to establish:
What the companys turnover was.
Who benefitted from cheques and cash worth 181,953 withdrawn from the companys bank account.
What happened to 68,100 received as part payments for franchises.
Additionally, due to incomplete payroll records, it was not possible to establish who was employed by Spafish, what they were paid and whether tax had been paid to HM Revenue & Customs. Furthermore, it was not possible to determine the full extent of losses incurred by customers or who these customers were.
Commenting on the disqualification, Mark Bruce, a Chief Examiner at the Insolvency Service said:
Company directors must keep sufficient financial records that show and explain the companys transactions. This director failed to do this and there remain a large number of unexplained transactions, representing significant amounts, over the companys trading period.
The Insolvency Service will take action against directors who fail to meet these obligations and remove them from the business environment as has happened to Mr Carter.