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

Company Director Applied for a Bounce Back Loan Top Up and Made Payments Benefiting Himself When He Should Have Known His Business Was Insolvent and Gets Hit With a 6 Year Disqualification

September 27, 2021

Today I present to you another first, that being the story of  a Company Director who got a 6 year disqualification for applying for a BBL Top Up (as opposed to just a BBL) and according to the Insolvency Service used it for personal benefit when he should have known or did know his business was insolvent. […]

The Disqualification Files

Insolvency Service Hits Company Director With a 6 Year Disqualification for Being Both Insolvent When Applying for a £15k BBL and Using £14,980 for Personal Benefit and Not the Benefit of the Business

September 23, 2021

The number of businesses defaulting on their Bounce Back Loans is increasing rapidly, but let’s face it they are going to continue to do so, unless Rishi listens to those offering alternative solutions, and brings out a few more options for those experiencing financial problems. Today I will give you an overview of the reasons why the Insolvency Service has just hit one Director with a 6 year disqualification, and much like all previous cases in my “Disqualification Files it involves a BBL. […]

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The Disqualification Files

Director Over-Egged Turnover to Obtain a £50k BBL, Moved Funds to a Different Bank Account to Ringfence Them and Didn’t Disclose BBL at Liquidation – Upshot Is a 7 Year Disqualification

September 22, 2021

I have discovered a new term that I have not seen used before when it comes to the Insolvency Service explaining several reasons for slapping a Company Director with a disqualification, that being “ringfencing” Bounce Back Loan funds. That describes the act of moving funds from one bank account to another. […]

The Disqualification Files

Lack of Records/Accounts Meant Liquidator Unable to Ascertain Whether a Bounce Back Loan Was Validly Obtained and Whether Those Funds Were Used for Benefit of a Business – Director Hit With 8 Year Disqualification

September 21, 2021

As many people battle to keep their businesses trading right now, many have decided they have no other option but to close down. The number of businesses going bust and being liquidated is increasing, as too are the number of businesses doing so that had obtained a Bounce Back Loan. Today I bring you news of one […]