A Cardiff restaurant director is unlikely to be buying much catering equipment in the near future after being disqualified from trading for six years.
Simon Kealy, the sole director of The Cardiff Restaurant Company Limited, was banned by the High Court for trading to the detriment of creditors, in particular HM Revenue & Customs.
Kealy’s disqualification follows an investigation by the Insolvency Service and prevents him from becoming directly or indirectly involved in the promotion, formation or management of a company for six years.
The investigation found that Kealy failed to ensure that CRC complied with statutory obligations to submit VAT returns and make payments in respect of VAT and Pay as You Earn and National Insurance Contributions for at least 18 months from 30 September 2010.
The investigation also found that he caused CRC to trade with knowledge of insolvency to the unreasonable risk and ultimate detriment of creditors.
One trade creditor had even begun the process of obtaining a county court judgement against CRC.
Sue Macleod, chief investigator at The Insolvency Service, said: “This is a case where the director caused the company to continue to incur liabilities so that creditors were bearing all the risk of the company’s trading, breaching his duties to both HMRC and trade creditors.”
The Cardiff Restaurant Company Limited traded as a hotel and restaurant from The Old Post Office in St Fagans, Cardiff. The business went into liquidation in April 2012.