Bangor director agrees to disqualification

The Department of Enterprise, Trade and Investment (the Department) has accepted a disqualification undertaking for eight years from Dawne Henderson Carter (40) of Sinclair Road North, Bangor, Co. Down in respect of her conduct as a director of Thomas Bell Design Centre Limited (“the Company”).
~ Thursday, 5 January 2012

The Department had previously accepted a disqualification undertaking for eight years from another director on 6 October 2011 in respect of his conduct as a director of the same company.

The Company carried on the business of the supply and installation of kitchens and bathrooms to major house developers from premises at Glenford Road, Newtownards and went into liquidation on 28 May 2009 with estimated assets of £Nil, liabilities of £414,691 to secured creditors, liabilities of £4,855 to preferential creditors, liabilities of £615,630 to non-preferential creditors and an estimated deficiency as regards creditors of £1,035,176. After taking into account the losses incurred by members (the shareholders) of the Company the total estimated deficiency was £1,035,179.

The Department accepted the disqualification undertaking from Dawne Henderson Carter on 12 December 2011 based on the following unfit conduct which solely for the purposes of the disqualification procedure was not disputed:

• causing and permitting the Company to fail to safeguard deposits received from customers in respect of goods and/or services that it failed to provide and a failure to refund the deposits to customers;
• causing and permitting the Company to fail to file accounts for the period ending 31 July 2007 within the prescribed time period with Companies House; and
• causing and permitting the Company to fail to file Annual Returns for the year ended 20 July 2008 within the prescribed time period with Companies House.

The Department has accepted 28 Disqualification Undertakings and the Court has made five orders disqualifying directors in the financial year commencing 1 April 2011.

Notes to editors:

1. The Official Receiver, when a company is wound up by the Court, has a duty to investigate the causes of failure and report any unfit conduct to the Insolvency Service within the Department of Enterprise, Trade and Investment.
2. The aim of the Department is to bring disqualification proceedings against those directors of failed companies who have abused the privilege of limited liability status through negligence, incompetence or lack of commercial probity. The legislation contained in the Company Directors Disqualification (Northern Ireland) Order 2002 ('the 2002 Order') is for the protection of the public and trading community but its operation should not inhibit genuine enterprise.
3. In cases where a person is subject to either a Disqualification Order made by the Court or a Disqualification Undertaking accepted by the Department, that person shall not be a director of a company, act as a receiver of a company's property or in any way, whether directly or indirectly, be concerned or take part in the promotion, formation or management of a company unless he has the leave of the High Court. A disqualified person cannot obtain permission to act as an Insolvency Practitioner.
4. Article 9 of the 2002 Order provides that where a director is found to be unfit he must be disqualified for a minimum period of two years, up to a maximum of 15 years. The Courts have decided that the level of seriousness of unfit conduct can fall into three brackets with the top bracket of periods over 10 years reserved for particularly serious cases, six to 10 years reserved for cases which do not merit the top bracket and two to five years for cases where, although disqualification is mandatory, the case is less serious.
5. The 2002 Order also allows directors, with the agreement of the Department, to avoid the need for a court hearing by offering an acceptable Disqualification Undertaking. This has exactly the same legal effect as a Disqualification Order made by the court, and will usually include a schedule identifying the director’s unfit conduct. The consequences of breaching a Disqualification Undertaking are the same as those for breaching a Disqualification Order.
6. If anybody contravenes a Disqualification Order or breaches their Disqualification Undertaking they may be committing a criminal offence and could go to prison for up to two years or face a fine or both. Any person with information to suggest that a disqualified person has acted in contravention of this provision should contact The Insolvency Service’s Directors Disqualification Unit on 028 9054 8516.
7. The period of disqualification commences at the end of 21 days beginning with the day the Disqualification Undertaking was accepted by the Department.
8. For media enquiries contact DETI Press Office on 028 9052 9604. Out of office hours please contact the Duty Press Officer via pager number 07699 715 440 and your call will be returned.