Eight-year ban after r three firms collapse
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• by Michael Jewel A husband and wife who ran three haulage companies which collapsed owing more than £1.8m have been banned from acting as company directors for eight years.
The High Court of Justice, sitting in Manchester, heard that Patricia and James Jennings of Watling Street, Bury had been directors of Glazedale, Jaydrive and Jennings Haulage, all of which were based in Tile Street, Bury The court was told that Jennings Haulage traded from March 1987 until Apri11991, going into voluntary liquidation in September 1991 with estimated debts of £889,134.
Glazedale traded from March 1991 until November 1997; it was wound up in January 1998 owing £431,650. Jaydrive traded from April 1991 until January 1993; it was wound up in June 1993 owing £562,819. Making the disqualification orders, the court held that: • The Jennings kept trading after they knew, or ought to have known, that there was no reasonable prospect of creditors being paid; • They had retained £606,497 due to the Crown, including 2242,207 for VAT and £364,290 for PAYE and National Insurance contributions; • They had caused Jaydrive to effectively continue the same business as Jennings Haulage in the same manner when there was no reasonable prospect of creditors being paid; • They had caused Jaydrive to transfer stock and a fuel tank to the value of £83,215 to Glazedale, thus depriving Jaydrive's creditors of its benefit.
The Jennings are banned from serving as company directors, or being concerned in, or taking part in, the promotion, formation or management of a company for eight years.