Marcus Julian Malanaphy, also known as Marc Malan and Marc Melanaphy, has become the latest in a trio of directors of Southern Ventilation Ltd to sign a Disqualification Undertaking for causing the company to trade to the unreasonable risk of creditors while knowing or ought to have known, the company was insolvent.
Mr Malanaphys 8 year Disqualification Undertaking bans him from acting as a Company Director as his actions, from 31 January 2012 led to increased creditor liabilities of 424,409.
The disqualifications of all 3 directors follow an investigation by the Insolvency Service.
The Company provided ventilation and ductwork services to the construction industry.
The disqualification, from 15 July 2015, also prevents Mr Malanaphy from acting directly in the promotion, formation or management of a company for the duration of the term.
The investigation found that although Mr Malanaphy was not a formally appointed director of Southern Ventilation Limited (SVL), he was involved in the day to day management, from incorporation to liquidation. He was involved in hiring and firing staff, authorising payments to creditors; the other directors, company officers and staff acted under his direction. .
John McCormick and Martin William France, the formally appointed directors, had previously each signed up to a 3.5 year Disqualification Undertaking banning them from acting as Company Directors.
Mr McCormicks and Mr Frances disqualifications are from 18 December 2014 and 9 December 2014, respectively. The prohibition also prevents both from acting directly in the promotion, formation or management of a company for the duration of the term.
Commenting on the disqualifications, Sue MacLeod, Chief Investigator at the Insolvency Service, said:
The Insolvency Service and The Department for Business Innovation and Skills will take firm action to protect the public and the business community. Mr Malanaphy acted with a complete disregard for the creditors and left individuals and traders out of pocket. He could not have acted as he did without the assistance provided by Mr McCormick and Mr France.
Company Directors should note that the Insolvency Service will disqualify those who act in the capacity of a director, even if they are not formally appointed.