Two Essex traders,
have been disqualified from acting as company directors for a
total of nine-and-a-half years following an investigation by The
Insolvency Service.
Sian Morris and Jamie Hammond both acted as directors of Essex
County Buses, which ceased trading without warning in March 2010
leaving staff, suppliers and HM Revenue and Customs (HMRC) unpaid.
This is the second time Ms Morris has been disqualified for her
conduct while running bus companies.
The investigation found Sian Morris, 35, had not been formally
appointed as a director of the company but had however acted in
that capacity.
Both Morris and Hammond signed undertakings to be disqualified
from acting as directors in companies before the matter went to
court. Ms Morris was disqualified for seven years and Mr Hammond
for two-and-a-half years.
In the undertaking, Ms Morris admitted that she had diverted
payments of £90,991.87 from Essex County Buses to a related
company which had been wound up, staff dismissed, and had stopped
trading. Mr Hammond, 34, also admitted that as the only formally
appointed director of Essex County Buses, he failed to carry out
his duties and as a result allowed the company to be operated in a
manner detrimental to creditors.
Ms Morris had earlier been disqualified from acting as a director
for five years in June this year for her conduct in the management
of Transit Group, Stansted Transit and Stansted Transit Buses,
which went into liquidation in May and June 2009 respectively. She
had admitted failing to make payments or returns to HMRC and
failing to file accounts for these companies.
The disqualifications mean that neither Sian Morris nor Jamie
Hammond may be a director of a company or be involved in the
management of a company in any way unless they have permission
from court.
Commenting on the disqualifications, David Brooks, a Chief
Examiner for The Insolvency Service said:
“These disqualifications should serve as a reminder that The
Insolvency Service will investigate unacceptable conduct by
company directors regardless of whether or not the people in
control of companies are open about their roles.
“The Insolvency Service will use the law to ensure that proper
standards of conduct of company directors are maintained, and to
ensure that well run businesses do not suffer unfair competition
from companies that fail to comply with legal requirements”.
Ends
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Notes to Editors
1. Essex County Buses Ltd was incorporated on 21 March 2007 and
the Registered Office of the company was The Bus Deport, Old Mead
Road, Henham, Bishop’s Stortford, Hertfordshire, CM22 6JL. The
directors of the company were Mr Jamie Hammond, who resigned in
June 2010, and Ms Sian Morris (who was not formally appointed). 2.
The winding up order was made on 23 June 2010, on the petition
presented on 11 May 2010 by Konstructa Hire Limited in respect of
legal costs related to an earlier winding up petition. The
Official Receiver in Cambridge was appointed liquidator of the
company. 3. The investigation into the company was carried out by
Enforcement & Investigation Services, part of The
Insolvency Service. 4. Disqualification undertakings were
introduced in April 2001. They are an administrative equivalent of
a disqualification order but do not involve court proceedings.
Without specific permission of a court, a person with a Company
Director Disqualification, including undertakings, cannot:- · act
as a director of a company, · take part, directly or indirectly,
in the promotion, formation or management of a company, · be a
liquidator or administrator of a company; or · be a receiver or
manager of a company’s property. Further information on director
disqualifications and restrictions can be found
at:http://www.insolvency.gov.uk/directordisqualificationandrestrictions/whatisdisqualification.htm
5. The Insolvency Service administers the insolvency regime
investigating all compulsory liquidations and individual
insolvencies (bankruptcies) through the Official Receiver to
establish why they became insolvent. The Service also authorises
and regulates the insolvency profession, deals with
disqualification of directors in corporate failures, assesses and
pays statutory entitlement to redundancy payments when an employer
cannot or will not pay employees, provides banking and investment
services for bankruptcy and liquidation estate funds, and advises
ministers and other Government departments on insolvency law and
practice. Further information about the work of The Insolvency
Service is available from www.bis.gov.uk/insolvency 6. All public
enquiries concerning the affairs of the company should be made to:
The Official Receiver, 2nd Floor, Abbeygate House, 164-167 East
Road, Cambridge, CB1 1JW Email: cambridge.or@insolvency.gsi.gov.uk
7. Media enquiries should be directed to: Ade Daramy, Press
Officer on 020 7596 6187
Contacts:
Ade Daramy
Phone: 020 7596 6187
ade.daramy@insolvency.gsi.gov.uk