Cleaning firm boss in six-year NI board ban
The Dublin boss of a cleaning company in the North which went bust owing around £116,000 has been given a six-year boardroom ban in Northern Ireland.
Michael McKeown (56), from Broadford Drive in Ballinteer, was disqualified as a director by the North's Department for the Economy over his conduct at the helm of Direct Cleaning Services (NI) Ltd. Fellow director Paul Corry from Betaghstown Road in Bettystown was barred for six years earlier this year.
Their company carried out contract cleaning from an address in Belfast's Adelaide Street. It went bust in June 2014 owing £116,000.
Mr McKeown gave an undertaking to the Department for the Economy that he would not act as a director for six years.
He accepted that he had breached his fiduciary duty by transferring just over £176,000 to a connected company, to the detriment of creditors and in particular, the UK tax authorities, HMRC. He also accepted that he had failed to act in the firm's best interests.
Mr McKeown acknowledged that he didn't file annual returns within the prescribed periods over 2006 to 2013. And over 2006 to 2008, he also failed to file annual accounts within the prescribed periods.
Directors' disqualification proceedings are brought by the Department for the Economy where the directors of failed companies are deemed to have abused limited liability status.
Insolvency practitioners such as administrators have a duty to notify the department of potential unfit conduct.
Under UK legislation, directors can be barred from the boardroom for periods of between two and 15 years.