Cold calling director struck off for ‘flagrant’ breach of duties

After bankruptcy telemarketing rules and bankruptcy trading, cash splash director of annoying phone business has been striking for 12 years

Tony Abbott is the only director of Reactiv Media in the UK and uses a large UK customer database to provide annoying direct marketing services to a variety of companies.

However, the project entered the liquidation process in April 2016 and estimates that the total claim by creditors exceeded 2 million pounds. Currently, the UK bankruptcy authorities banned Abbott from banning company establishment or guidance within the next 12 years.

David Brooks, the head of the bankruptcy authorities, said Abbott lightly infringed on its obligations to regulators and corporate creditors "for a long time." Commercial grants and violations of telephone marketing regulations

As Abbott provided inaccurate information and the company received 38,326 pounds from the Leeds Regional Corporate Partner with an "unreasonable subsidy", it included deposits of 252,071 pounds for two homes in the same month.

Reactiv Media's draft account in May 2015 required a net asset of 415,668 pounds, but due to bad debt owed by the Associate, in reality there was a net debt of 289,528 pounds.

In the next six months, even if Abbott was bankrupt, he allowed the company to trade, and since that time the company has won approximately £ 155,701 at PAYE / NIC.

However, the company has not made payment since July 10, 2015, he said in payment of PAYE / NIC in 2015/16, "It is insufficient to repay the repayment term of 4361 pounds in April 2015" It was.

At the same time Abbott received personal profit of about 177,664 pounds from September 1, 2015 - some of which were used for jewelry and his wedding ceremony.

Abbott also said, "I resigned the loan I had been affiliated with 14,670 pounds, transferred the investment to the company at £ 75,000, and borrowed 93,550 pounds to the relevant third party" He admitted.

In addition to repaying these debts, the company also violated the direct marketing phone law stipulating that people who can not make phone calls can not be called.

The Information Director's Office received 601 complaints about such a phone and was fined 50,000 pounds in 2014. Later it was raised to £ 75,000 by the first-class court - but no payment was made

The ICO said that "pursuing all options" to collect funds in cooperation with bankruptcy authorities, adding that "happy" Abbott can not establish a new company.

According to the Certified Secretary Administrator Association (2015), this breach of obligation is applied when a director benefits from a third party with respect to property, informal information and opportunities. At the same time, even if it is unreasonable or approved by the director, it is not a violation of the duty. Unfortunately, directors are always facing conflicts of interest with competitors, major shareholders, or suppliers, and this situation has increased over the years to years. This is because the law does not clearly explain the meaning of "profit" or "conflict of interest". In the case of Boardman v Phipps who purchased shares because Broadman and Tom Phipps purchased shares because they are likely to change the company as confirmed by Mr. Fox, this issue has been clearly demonstrated. Nevertheless, Mr. Broadman and Mr. Tom Phipps did not fully win all beneficiaries, they earned a lot of money with Mr. Fox.

If you are a director or officer, you need to know that all directors and officers of the company are responsible for taking reasonable care of the company in managing the business. This obligation is called a duty of care. Some states have regulations governing nursing care responsibilities and other provinces use judicial precedence laws to determine whether directors or officers violate this responsibility. In this article we will look for common law or "normal case" on this topic. In addition to this "regular test", in many states, in the state that directors rely on statements including financial data submitted to officers or directors by opinions, reports, information, or financial statements or other officials of responsible companies We have passed the mandatory regulations. . , Board of Directors, employees, lawyers, certified public accountants or committees. These regulations guarantee that you can not impose liability on officers or directors if the above conditions are satisfied.