The director of a domestic and industrial groundwork company has been banned from running a company after failing to submit taxes and keep acceptable accounting records.
George Fry from Glasgow was the sole director and shareholder of Connect Pavers Limited. Incorporated in September 2015, the company carried out domestic and industrial groundwork contracts.
However, just two years later in October 2017, Connect Pavers entered into liquidation following a petition at Glasgow Sheriff Court by the tax authorities for an unpaid bill of at least £140,000 if not more.
Insolvency practitioners were tasked with winding-up Connect Pavers but George Fry failed to confirm that the company maintained adequate accounting records and as a result, the firm could not deliver any records to the liquidator. Connect Pavers also paid no taxes throughout the two-years the company was in operation.
Further work by the Insolvency Service found that between 18 May 2016 and 3 November 2016 George Fry withdrew £101,100 from the company’s account but because he failed to uphold adequate accounting records, Fry could not adequately explain whether these transactions were legitimate or not.
On 19 December 2018, at Glasgow Sheriff Court, Sheriff Anwar granted a disqualification order for a period of 7 years.
Effective from 10 January 2019, George Fry is banned from directly or indirectly becoming involved, without the permission of the court, in the promotion, formation or management of a company.
Robert Clarke, Chief Investigator for the Insolvency Service, said: “From day one, George Fry had a responsibility to ensure the company maintained proper accounting records and pay the correct levels of taxes. But he failed on both accounts, amounting to a dereliction of duty.
“Seven years is a substantial ban, severely restricting George Fry’s activities, and we hope others take heed that we can stop people from running companies if they do not take their directorship duties seriously.”