Crackdown On Directors Who “Phoenix” Their Company

The Insolvency Service has had their powers extended to investigate and disqualify company directors who abuse the company dissolution process.  The legislation will also help tackle directors dissolving companies to avoid paying their liabilities. The Insolvency Service already has powers to investigate directors of companies that enter a form of insolvency, including administration and liquidation.  […]

Action Against Companies Fraudulently Claiming COVID Support

The Insolvency Service has taken firm action against two companies that fraudulently applied for thousands of pounds worth of COVID support loans, and the businesses have now been shut down.  The two separate companies submitted false documents to at least 41 local authorities and the Government’s Bounce Back Loan scheme to secure £230,000 worth of […]

Insolvency Service Action Against COVID-19 Fraud

The Insolvency Service has taken decisive action against businesses that were found to have abused COVID-19 financial support.  A company director was disqualified for 12 years and five other companies wound-up in the public interest after fraudulently claiming COVID-19 business support. Raashid Khan fraudulently claimed £50,000 through the Bounce Back Loan Scheme (BBLS) before transferring […]

11-Year Directorship Ban for Tax Avoidance Scheme Promoter

An insolvency investigation has found that a payroll company, Magnetic Push, was playing an active role as an umbrella company in a multi-million pound tax avoidance scheme.  The company director, Scott Ian Rooney, has been disqualified as a company director for 11 years. Magnetic Push provided payroll services, trading from a serviced office in Liverpool, […]

New Insolvency Service Powers To Tackle “Phoenixism”

The Insolvency Service will be given powers to investigate directors of companies that have been dissolved, closing a legal loophole of fraudulently avoiding repayment of Government backed loans given to businesses to support them during the COVID-19 pandemic. Improved powers and greater sanctions against unscrupulous directors has been on the Insolvency Service agenda for years, […]