AN EUXTON couple have been banned from being company directors.
Husband and wife Frank and Gayle Smalley of Dawbers Lane, Euxton will not be allowed to form, promote or manage a company as its directors, following a recent court hearing after their business closed down.
Mr and Mrs Smalley's business -- Plasmark, Longridge Road, Preston -- went into liquidation in July 1998, owing an estimated £164,559 to creditors.
In court, Mr Smalley was found to be responsible for Plasmark trading at the risk of creditors. The court also found that he failed to keep or deliver up all the accounting records of the business.
The court found Mrs Smalley had not conducted all the functions normally required of a company director.
Mr and Mrs Smalley also failed to lodge a Statement of Affairs and Deficiency Account for the company and had drawn excessive funds from the company for personal use, the court found.
Mr Smalley was disqualified from acting as a director for five and a half years, and Mrs Smalley for three years. Under section 13 of the Company Directors Disqualification Act 1986, anyone breaking a disqualification order could be imprisoned for up to 2 years with a fine.
The court also considered the couple's conduct as directors of Smallwood, a civil engineering company which went into liquidation in December 1997 owing £207,483.
It was found that both had made inappropriate use of a partnership bank account for corporate transactions, and they had taken excessive funds from the company for personal use. Mr Smalley was also found by the court to have failed to present all the accounting records for Smallwood.
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