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Director Disqualification for 12 years

Company Director Receives 12 Year Director Disqualification Period for Exploiting Older People. 

This article shows that director disqualification can be meted out to directors for many types of misconduct, including, in this case, for exploiting older people as part of their businesses’ activities.

The UK Insolvency Service (the ‘IS’) reported this case in a recent press release, which states that Phillip Twose, the sole director of Newlook Roof Coatings Limited (the ‘Company’), has been disqualified as a director for a period of 12 years, for causing the Company “…to target vulnerable (elderly) customers using coercive and misleading selling practices”.

The IS report that they collaborated with Trading Standards, HM Revenue & Customs and the Health & Safety Executive in their investigations.

What Did Mr Twose’s Company Do To Merit his Disqualification as a Director?

The Company cold called predominantly elderly and vulnerable people and coerced them into signing agreements for completely unnecessary work that involved applying roof coatings. They did this by claiming that moss on the roof of a property would necessitate a completely new roof with the charges for the same being over inflated.

The IS confirm that the Company went into liquidation on 11 October 2013 with an estimated deficiency of £689,143.00. In addition, the Company had been investigated by Trading Standards in 2011, following a number of customer complaints and Mr Twose was sent to prison. The Company had also made under declarations of VAT of over £391,000.00.

In addition the Health & Safety Executive successfully prosecuted the Company for failing to provide safe systems of work.   The Company was fined with costs awarded against it.

Bearing in mind the allegations found and admitted by Mr Twose and the history of regulatory actions against the Company and him, Mr Twose was perhaps fortunate only to be disqualified as a director for 12 years.

Sue MacLeod, Chief Investigator at the Insolvency Service, commenting on the length of the director disqualification period, said:

“The Insolvency Service treats this kind of misconduct extremely seriously and will not hesitate to take action against directors who fail to adhere to the standards required of them. This is reflected in the period of disqualification.”

Neil Davies and Partners are Specialists in Director Disqualification

As Director Disqualification Solicitors, we know that when an investigation is commenced by the IS (or for that matter a UK administrator or UK liquidator), the earlier you seek advice the more likely it is that we can help.  This is because acting positively and quickly might allow us to help to eliminate the prospect of director disqualification, or reduce the period of disqualification.

So if you are facing director disqualification proceedings, Please contact us or call us today on 0121 200 7040 for an initial free no obligation chat about your options.

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