Six-year ban for couple after spending £ 2.4million ahead of liquidation
Six-year ban for couple after spending Â£ 2.4million ahead of liquidation
Directors of an East Kilbride double-glazing company have been disqualified after failing to keep records explaining where Â£ 2.4million was spent on the company’s bank accounts.
Hagit fieldman, 54 and Gary Fieldman, 58, both now living in Israel, were directors of First for Windows Ltd. The company negotiated as Dalmatian windows and ensured the manufacture and installation of double glazing, doors and verandas.
The company was incorporated in 2005 with its principal business address in East Kilbride, and the company has traded smoothly for a number of years.
In 2017, however, the directors were unable to meet their tax obligations and a request for the liquidation of the company was made by the tax authorities in June 2019.
Next to a Insolvency service investigation, it was found that Â£ 2.4 million had been spent on the company’s bank accounts.
The liquidator, however, was unable to verify any of the payments or estimates because the two directors had failed to maintain or deliver adequate accounting records.
Further investigations revealed that the Fieldmans had not filed accounts for First For Windows Ltd since 2017 and the lack of records meant the company’s transactions and various payments could not be determined.
In previous accounts all that had been recorded was that the shares had been valued at Â£ 32,000 and the company would have fixed assets of Â£ 15,000.
On April 28, 2021, the Secretary of State accepted disqualification commitments from Hagit Fieldman and Gary Fieldman.
Both bans came into effect on May 19, 2021 and last for six years, meaning they cannot, directly or indirectly, become involved, without court permission, in promotion, training or management. from a company.
Rob Clarke, Chief Insolvency Investigator, said: âHagit Fieldman and Gary Fieldman negotiated this company successfully for a number of years and therefore should have known what was expected of them as directors. Â£ 2.4million is not an insignificant amount and their decision not to keep company records means these funds cannot be pinpointed.
âDirectors must meet their obligations, including keeping accounting records throughout the life of their business, and we will take action against those who do not. “