What's Behind Door 21 for Directors?

Posted on Dec 21, 2022. by NTI

Yuletide and festive greetings to all of our NTI newsroom regulars and a ho ho ho horrible man to John McGarvey, a Glaswegian engineer and the sole director of sole director of CKO Civil Engineering and Surveying Limited. John excelled himself and managed to make not just one, but two, fraudulent bounceback loan applications (to be fair, to two different banks) in 2020.

In a shock twist to the story, his company went into Liquidation in November 2021 and Liquidators soon uncovered that it owed around £183,000. Enter stage door left those Christmas Grinches, the Insolvency Service, who soon discovered that John had not only applied for the two loans, but had exaggerated CKO’s turnover both times with the most recent accounts showing a turnover of only around £46,400. As the brandy butter on top of the pudding our fraudulent Glaswegian also then spent the incoming loans for his personal gain. He cannot be a director of a company for eleven years.

In a similar story of Christmas arse, the Insolvency Service has also announced the disqualification of three directors, Aidan Henderson, Andrew Page and Thomas Ward, after mis-selling pensions from which investors lost over £44 million. Mind you they were only disqalified from acting as directors for ten years and you can assess for yourselves if this seems consistent, bearing in mind the lives they ruined.

The three men advised clients to transfer their pension funds into Self-Invested Personal Pensions but failed to adequately explain to clients that their money would then be loaned to high-risk investments in Mauritius and would not be subject to regulation by UK authorities.

Chief investigator at the Insolvency Service, Rob Clarke, said: "They have caused hundreds of people to lose money and failed to run their business in line with statutory obligations designed to ensure the provision of objective, independent advice, so they should not be surprised that they are now subject to lengthy bans." But not as lengthy as a Scottish engineer who fraudulently claimed two bounceback loans.


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