A Director of a consultancy based in Edinburgh, has been banned for 7-years after he failed to maintain adequate records and explain what happened to the company.
Paul Gilhooley Consultancy Ltd, incorporated in May 2014 but ceased trading in June 2017, after being advised to enter into a Creditor Volountary Liquidation (CVL). Paul Gilhooley, 48, from East Lothian, was the sole director.
Despite numerous requests, Paul Gilhooley failed to deliver any accounting records to the insolvency practitioners, which is asked for in a CVL.
As a result, the insolvency practitioners could not determine from June 2016 what the consultancy had been doing, the exact reasons for the insolvency or the level of payment taken by Paul Gilhooley out of the company.
The administrators were also unable to verify a significant tax debt of just over £207,000 and could not establish the consultancy’s debts, what happened to £14,000 of cash taken from the company’s bank account or verify what happened to the consultancy’s fixed assets.
Given The Boot
Paul Gilhooley admitted on 11 September 2018, that he failed to ensure Paul Gilhooley Consultancy Ltd maintained, preserved and /or delivered up adequate accounting records, in which he accepted a disqualification.
As of 2 October 2018, Paul Gilhooley is now banned for 7 years from directly or indirectly becoming involved, without the permission of the court, in the promotion, formation or management of a company.