Director Disqualification for an Accountant
Director Disqualification Can Happen to Accountants and Financial Professionals.
Accountants and other financial professionals are subject to the same laws as all other directors when it comes to director disqualification, as this article shows. As Director Disqualification solicitors, we can help if you are facing director disqualification proceedings.
Why Was This Accountant Disqualified As a Director?
This press release from the Insolvency Service confirms that a director of an accountancy firm and insolvency practice in Chesterfield, Derbyshire was disqualified as a director for a period of 6 years in the spring of 2015.
Mr David Pollard (‘Mr Pollard’) was a director of two companies that were the subject of public interest winding-ups by the Court on 09 May 2013, on the Petition of the Department of Business Innovation and Skills.
Mr Pollard admitted misconduct that was identified by the investigators including breaching his fiduciary duties as director, by inappropriately handling client and liquidation monies held on trust.
Mr Pollard did not separate the financial affairs of the two companies, so it was not possible to determine elements of each company’s income and expenditure.
Irrecoverable monies were also identified including over £24,000.00 that was retained after companies were compulsorily wound-up or dissolved. £12,100.00 in duplicate fees were taken. Finally, over £30,000.00 in payments were made to connected parties and not disclosed to a creditor.
In essence, this appears to have been a case where a director of a professional financial services company carried out a number of breaches of trust and paid the price with his disqualification as a director.
This comment from Ken Beasley, Official Receiver of the Insolvency Service’s Public Interest Unit, says it all:
“The Insolvency Service will always look closely at individuals who hold themselves out to be financial professionals but who cannot be trusted to handle people’s money in a proper way.”
Misfeasance proceedings may also be faced by Mr Pollard
It may be the case that matters do not end with Mr Pollard’s director disqualification because the liquidator of the Companies may bring misfeasance claim proceedings against him to recover the misapplied monies from Mr Pollard personally.
We can help if you are facing director disqualification
Whether you are facing a public interest Winding-Up Petition, Director Disqualification proceedings or proceedings brought by a liquidator or other office holder then please do speak with us. We will be delighted to help. Please have a look at some of our testimonials and case studies.
As director disqualification specialists, we know that being disqualified from acting as a director can have serious business and personal consequences for a director and his/her family. In our experience, acting positively and quickly is vital, as it might allow us to help to eliminate the prospect of being disqualified as a director, or result in a lower period of disqualification. The earlier you talk to us the more likely it is that we can help.
Contact us or call us on 0121 200 7040 for a free initial chat which will give us the chance to make an initial assessment of whether and by how much we can help you.