Directors banned for racking up debts of millions
Two directors have been banned from the boardroom in separate rulings after racking up millions of pounds worth of debts. The Department of Enterprise, Trade and Investment handed a seven-year disqualification to Stuart Andrew Jackson (34) of Glengall Lane, Ayr in Scotland in respect of his conduct as a director of EASSDA Limited, which was a property development firm based on the Antrim Road in Templepatrick.
The company went into administration in November 2009 with estimated total assets of £11.84m, liabilities to secured creditors of £28.69m, liabilities to preferential creditors of £17,833, liabilities to unsecured creditors of £4.24m and an estimated deficiency to creditors of £21.12m.
Proceedings are continuing against three other directors.
Mr Jackson accepted authorising intercompany payments to EASSDA Ireland Limited, leaving an inter-company debt of £4.9m which cannot be repaid.
Meanwhile, a car dealer has been banned from trading for almost a decade after running up debts of almost £2m.
As a director of Dornan's Service Station in Lisburn, Fergus Charles James Dornan (44), of Carnbane Road, failed to co-operate with the official receiver and the liquidator when his firm went bust, failed to account for the rental income paid to the company and made payments of £1,020 when in liquidation.
He also failed to file annual returns from 2004 until 2009 or accounts from 2003 until 2009.
Mr Dornan, who was disqualified for nine years, also failed to ensure the firm had a company secretary over a three-year period, and abused the privilege of trading under limited liability status.
The company, which traded at Market Place in Lisburn, went into liquidation in April 2010 with estimated total assets of £181,400, liabilities to secured creditors of £1.58m, liabilities to unsecured creditors of £491,042 and an estimated deficiency to creditors of £1.88m.
After taking into account the losses incurred by the shareholders of the company, the total estimated deficiency was £1.9m.