In the event of a company’s insolvency, the Insolvency Service holds the power to examine the details surrounding liquidations and administrations. In cases where there is a suspicion that the directors have failed in their responsibilities or their behavior is deemed unacceptable, a report will be filed with the Insolvency Service, prompting an inquiry known as the Director Disqualification Investigation (DDI), which aims to investigate the directors’ actions.

There are a few conducts that are reported most frequently.

• Was the director’s failure to maintain sufficient books and records evident?
• While continuing to honour payments to other creditors, did the director engage in trades that harmed the Crown and neglected tax payments?
• Does the director’s integrity come into question?
• Was the act of the director deemed improper as the company property was taken away?

Directors who find themselves embroiled in such investigations may experience immense stress. We acknowledge that each case is unique in its own right, and it is important to recognise that the Insolvency Service usually only has access to one perspective of the story.

The outcome of a DDI leading to a period of disqualification is far from guaranteed.
Muldoon Britton’s strategy revolves around a meticulous examination of every unique case, ensuring a thorough understanding of the facts at hand. When necessary, we skillfully present our case to the Insolvency Service, aiming to convince them to halt their investigation.

Our unwavering commitment, paired with extensive expertise in similar matters, equips us to effectively safeguard a director’s interests.

Should you find yourself confronted with a potential Director Disqualification, do not hesitate to reach out. The sooner we engage in conversation, the greater our capacity to offer efficacious aid. Please feel free to contact our expert solicitors for any assistance you may require.