Jane Thornton, 54, and Norman Thornton, 65, were both directors of construction company Norjan (Properties) Limited, which went into liquidation in July 2020 with liabilities of over £ 411,000.
The liquidator noted that Norjan had instructed its major client to transfer payments to a new bank account from January 2020. This account was owned by a third party and over £ 124,000 was deposited between February 2020 and April 2020.
The bankruptcy agency’s subsequent investigation also found the company had been insolvent since at least July 31, 2017 and had a pending county court judgment of nearly £ 34,500.
Both Jane and Norman Thornton accepted that by diverting funds to the new account, the company would no longer be able to repay its creditors.
The Secretary of State accepted letters of commitment signed by both directors on August 19, 2021. Your disqualifications will come into effect on September 9, 2021 and will each last 9 years.
The couple may not be directly or indirectly involved in promoting, starting or running a business without the approval of the court.
Nina Cassar, Chief Investigator for the Bankruptcy Service, said: “In December 2019, Mr. Thornton notified bailiffs that Norjan (Properties) Limited had no means to pay its debts. Then, knowing the financial condition, over £ 124,000 was placed out of the reach of creditors.
“This prohibition was intended to serve as a warning to other directors that you have an obligation to your creditors. If you neglect this duty, you could be determined by the bankruptcy administration and lose the privilege of limited liability trading. “