A DROITWICH businessman has been banned from being a company director for five years after repaying himself £500,000 shortly before his firm went into liquidation.
Roger Dyson, director of Roger Dyson (U.K.) Limited, which was involved in the construction of recovery vehicles, appeared at the High Court in Birmingham following an investigation by the Insolvency Service.
The disqualification means Mr Dyson, aged 62, of Earls Common, Droitwich, cannot act as a director, control or manage a company until 2018.
The court was told that in July 2008 he made an unsecured loan to the company of £500,000.
On December 1, 2008, he repaid himself ahead of other creditors, thereby increasing the company’s overdraft to nearly £1 million.
Roger Dyson (UK) Limited, of Berry Hill, Droitwich, ceased to trade in January 2009 and went into voluntary liquidation the following month with losses of more than £1.3 million.
Robert Clarke, head of company investigations in Birmingham, said: “Directors who put themselves ahead of other creditors when it’s clear their company is about to fail, show total disregard for suppliers and the business community generally.
"The disqualification order made in this case sends a clear message to other company directors that if they run a business in a way that is detrimental to either its customers or its creditors, they will be investigated by the Insolvency Service and removed from the business environment for a long time.”
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here