Extra 11 Year Bank For Sunderland Director
Director disqualified yet again getting an additional 11 year ban.
Sunderland Director banned for extra 11 years after reappointing himself while serving 7 year disqualification.
DNME Limited Caused First Director Ban
Derek Milligan (40), also known as Derrek Milligan, from Sunderland, was the sole director of DMNE Limited and of Dockyard Sunderland when the Insolvency Service had begun an investigation into his activities with DMNE.
DMNE as at 30 November 2011 had filed statutory accounts with positive shareholder funds of £633,737, yet within 18 months a winding up petition had been presented by H M Revenue & Customs.
Following a creditor’s petition at Court, Milligan was made bankrupt in August 2015 and resigned as director of Dockyard Sunderland.
In September 2015, Derek Milligan signed a 7 year disqualification undertaking that banned him from acting as a director from October 2015 to October 2022.
HCA Litigation Limited: Director Disqualified Again
Despite being advised to seek legal advice, Milligan appointed himself a director of Dockyard Sunderland in July 2017, which had been renamed HCA Litigation Limited.
He did not have the permission of the Court to act as a director of HCA Litigation or to be involved in its management.
Milligan signed the company’s 2017 accounts filed at Companies House in October that year, and he also instructed solicitors about the lease on the trading premises.
The statutory accounts for HCA Litigation Limited as at 30 September 2017 showed that it had positive shareholder funds of £295,972.
Following an investigation by the Insolvency Service, the case was heard in Newcastle County Court on 14 September 2021, where Derek Milligan was disqualified for a further 11 years.
The new disqualification order prevents Derek Milligan from directly or indirectly becoming involved in the promotion, formation or management of a company without the permission of the Court.
Rob Clarke, Chief Investigator of the Insolvency Service, said:
Derek Milligan knew the restrictions he was under when he agreed to a disqualification undertaking. He couldn’t be a director or be involved in managing a company without the Court’s approval. Yet he still re-appointed himself.
It’s imperative that companies’ dealings are transparent, so other businesses know exactly who is managing the company. Anyone trying to hide their involvement will be removed from the corporate arena for a lengthy period and could very possibly face criminal prosecution.
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