The Disqualification Files

This section of the website looks in detail at everyone given a Director Ban or a Bankruptcy Restrictions Order for Bounce Back Loan related wrongdoing, along with full details of what each person did, and occasionally other wrongdoing that resulted in a defaulted BBL.

The Insolvency Service recently said: “We expect to see a reduction in Covid Scheme related outcomes during 25/26 as we work through the pool of Bounce Back Loan cases”.

They have also warned that a BBL must be repaid and if the money your company borrowed is not repaid; your company may be investigated by the Insolvency Service, even if it has been dissolved.

If we find there was misconduct in the use of the BBL, action may be taken against you and your company.

Types of misconduct can include, providing false information on loan application, the loan being used for personal benefit and/or dissolving your company to avoid repaying the loan

As a result of the misconduct your company could be wound up by the Court, you could be disqualified as a director, and a Court Order may be made for you to pay compensation.

The Disqualification Files

6 Year Disqualification for Leaving Liquidator Unable to Determine if ATM and Over the Counter Cash Withdrawals of BBL Funds Were for Personal Benefit or for the Benefit of the Business and 9 Year Disqualification for Securing a BBL When Business Had Ceased Trading and Was Insolvent

October 25, 2021

Another two Bounce Back Loans worth a total of £80,000 have gone sour resulting in two business owners being slapped with a 6 and 9 year disqualification respectively. The reasons for those disqualifications follow the same pattern as many others, that being the business owners could not prove […]

The Disqualification Files

Capital on Tap Issued BBL Goes Sour with Company Director Hit with a 5 Year 6 Months Disqualification for Using His Bounce Back Loan Funds for Personal Benefit

October 22, 2021

Even though Capital on Tap decided that they would only offer Bounce Back Loans to their own customers, that hasn’t led to them being immune from those BBLs going sour, and here is an overview of one Company Director that has been hit with a 5 and a half year disqualification for among other things, using his BBL for personal benefit.   […]

The Disqualification Files

Two Directors Hit with 6 and 7 Year Disqualifications for Failing to Satisfy the Insolvency Service That Their Santander and Barclays BBLs and Were Used for the Benefit of their Businesses After Winding Up Those Companies

October 20, 2021

The total number of Bounce Back Loans I have been tracking that have gone sour now stands at 48 with a combined total £1,707,914, as two more Directors have just been hit with 6 and 7 years disqualifications for not satisfying the Insolvency Service that their BBLs were used for the benefit of the business, here is an overview of those […]

The Disqualification Files

Using Funds from a Bounce Back Loan for Crypto Trading Lands Sole Trader with a Six Year Bankruptcy Restrictions Order

October 16, 2021

One recurring explanation given for hitting LTD Company Directors with a long disqualification or a Sole Trader with a  long Bankruptcy Restrictions Order when they wind up their business and a Bounce Back Loan was secured for that business is that the loan was “not used to provide economic benefit to the business”. It is true to say that currently the majority of businesses that are being wound up that have a BBL […]