Two Directors have been disqualified in the High Court, Belfast in respect of their conduct as Directors of a bathroom furniture sales company.
John McBride (41) of Ligford Road, Omagh and Christopher Convery (52) of Wheatsheaf Park, Coleraine were disqualified for seven years each on 13 April 2016 in respect of their conduct as directors of Touchwood Manufacturing Co Limited (“the Company”).
The Company sold bathroom furniture from 2 Main Street, Plumbridge, Omagh. It went into liquidation on 7 June 2013 with estimated total assets available to creditors of £242,389, liabilities to preferential creditors of £2,280, liabilities to secured creditors of £335,812, liabilities to unsecured creditors of £275,768 and an estimated deficiency as regards creditors of £371,471. After taking into account the losses incurred by members (the shareholders) of the Company the estimated total deficiency was £371,551.
The matters of unfit conduct alleged by the Department of Enterprise, Trade and Investment (the Department) in relation to both John McBride and Christopher Convery in respect of their conduct as directors of the Company and accepted by the Court were:
Failure to fully co-operate with the Liquidator in that they failed to:
- deliver up adequate accounting books & records;
- reconcile stock figures as stated in the statement of affairs with those stated in the draft accounts and as presented to the bank;
- reconcile the fixed assets register with the assets delivered up to the liquidator;
- confirm the nature of certain payments and transactions;
Thus hampering the liquidator’s investigation into the insolvent company;
Causing and permitting the Company to fail to comply with its obligations under both Article 371 of the Companies (NI) Order 1986 and Section 854 of the Companies Act 2006 in that Annual Returns for the periods made up to 10 December 2002, 10 December 2004,
- 10 December 2005, 10 December 2006, 10 December 2007,
- 10 December 2009, 10 December 2010, 10 December 2011 and
- 10 December 2012 were filed late with Companies House.
The Department has accepted nine Disqualification Undertakings and the Court has made two orders disqualifying directors in the financial year commencing 1 April 2016.