Businessman handed five year ban after paying himself £500,000

A DROITWICH businessman has been banned from being a company director for five years after repaying himself £500,000 shortly before his firm went into liquidation.

Roger Dyson, director of Roger Dyson (U.K.) Limited, which was involved in the construction of recovery vehicles, appeared at the High Court in Birmingham following an investigation by the Insolvency Service.

The disqualification means Mr Dyson, aged 62, of Earls Common, Droitwich, cannot act as a director, control or manage a company until 2018.

The court was told that in July 2008 he made an unsecured loan to the company of £500,000.

On December 1, 2008, he repaid himself ahead of other creditors, thereby increasing the company’s overdraft to nearly £1 million.

Roger Dyson (UK) Limited, of Berry Hill, Droitwich, ceased to trade in January 2009 and went into voluntary liquidation the following month with losses of more than £1.3 million.

Robert Clarke, head of company investigations in Birmingham, said: “Directors who put themselves ahead of other creditors when it’s clear their company is about to fail, show total disregard for suppliers and the business community generally.

"The disqualification order made in this case sends a clear message to other company directors that if they run a business in a way that is detrimental to either its customers or its creditors, they will be investigated by the Insolvency Service and removed from the business environment for a long time.”

Comments (2)

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1:56pm Thu 28 Feb 13

More Tea Vicar says...

There should be more of this kind of penalty. All too often, we hear of companies going bust, having accepted downpayments on services, for example, and no doubt owing money to staff and suppliers.

Whenever that happens, there should be an enquiry, with this kind of ban being the norm where people have done wrong.

Same should apply in the public sector. Forget the compensation payments and the 'lessons will be learned' statements. Sack, imprison, fine and ban people involved.

You kill your patients - you pay the compo, and you go to jail. You foul up a road scheme, you pay back a portion of your recent pay, you get sacked, and you don't work in local govt. again.
There should be more of this kind of penalty. All too often, we hear of companies going bust, having accepted downpayments on services, for example, and no doubt owing money to staff and suppliers. Whenever that happens, there should be an enquiry, with this kind of ban being the norm where people have done wrong. Same should apply in the public sector. Forget the compensation payments and the 'lessons will be learned' statements. Sack, imprison, fine and ban people involved. You kill your patients - you pay the compo, and you go to jail. You foul up a road scheme, you pay back a portion of your recent pay, you get sacked, and you don't work in local govt. again. More Tea Vicar

5:55pm Fri 1 Mar 13

Landy44 says...

100% agree MTV.

This should most definitely apply to the public sector, but then we'd need to build more prisons to house the councillors, politicians and bureacrats we'd have to send there!
100% agree MTV. This should most definitely apply to the public sector, but then we'd need to build more prisons to house the councillors, politicians and bureacrats we'd have to send there! Landy44

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