Married couple from Telford banned for 9 years each after diverting over £124,000 away from creditors.
Jane Thornton (54) and Norman Thornton (65), from Telford, were both directors of the construction company Norjan (Properties) Limited, which went into liquidation in July 2020 with liabilities over £411,000.
The Liquidator discovered that Norjan had informed its major client to direct payments into a new bank account from January 2020. This account belonged to a third party and over £124,000 was paid into it between February 2020 and April 2020.
The subsequent Insolvency Service investigation also established that the company had been trading while insolvent from at least 31 July 2017 and had an outstanding County Court Judgement of nearly £34,500.
Whilst the disqualifications are welcome – are they a sufficient deterrent for directors who misappropriate assets away from creditors?
It will be interesting to see whether the Insolvency Service seek to issue Compensation Orders against these individuals.