Two directors of a Derry bar/nightclub and off-licence have been disqualified from being company directors for seven years.
The Department of Enterprise, Trade and Investment (DETI) has accepted disqualification undertakings from Isobel Duffy (57), of Larcon Drive, Culmore Road, and Martin Doherty (46), of Clarendon Manor, in respect of their conduct as directors of Bambhas Ltd.
The company carried on the business of a bar/nightclub and off-licence, trading as Bar 720 from Chamberlain Street and went into liquidation on 7 April 2011 with estimated total assets available for preferential creditors of £10,196, liabilities to unsecured creditors of £591,739, and an estimated deficiency as regards creditors of £581,543. After taking into account the losses incurred by members (the shareholders) of the Company the total estimated deficiency was £581,643.
The Department accepted the disqualification undertakings from the directors on 12 November 2013 based on the following unfit conduct which solely for the purposes of the disqualification procedure was not disputed:
failing to co-operate with the Joint Liquidators as Office Holders;
causing and permitting the Company to fail to ensure that the Annual Returns for the years ended 31 December 2004, 31 December 2006, 31 December 2007, 31 December 2008 and 31 December 2009 were filed on time and that the Annual Returns for the years ended 31 December 2005 and 31 December 2010 were filed at all contrary to legislation.
The following additional matter of unfit conduct alleged by the Department in relation to Isobel Duffy and not disputed was:
withdrawing £70,000 from the Company between 1 January 2010 and the date of liquidation, which constituted preference payments within the meaning of Article 203 of the Insolvency (Northern Ireland) Order 1989.
The following additional matter of unfit conduct alleged by the Department in relation to Martin Doherty and not disputed was:
acquiescing in allowing Isobel Duffy to make withdrawals from the Company thereby reducing her loan account at a time when such withdrawals were to the detriment of the creditors.
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