Plumbing and heating director from Limavady is disqualified

The undertaking was received for eight years from Kevin Patrick McLaughlin (58), of Newline Road, Limavady, in respect of his conduct as a director of KPM & Son Contracts Ltd.

McLaughlin’s company carried on the business of plumbing and heating installation from Newline Road, Limavady, and Glen Road, Belfast, and went into liquidation on May 1, 2014, with estimated total assets available for creditors of £nil and liabilities to unsecured creditors of £204,744 as well as an estimated deficiency as regards creditors of £204,744. After taking into account the losses incurred by members (the shareholders) of the company, the estimated total deficiency was £204,746

The department accepted the disqualification undertaking from Kevin Patrick McLaughlin on June 24, 2016, based on the following unfit conduct which solely for the purposes of the disqualification procedure was not disputed: Causing and permitting the company to retain £196,754 properly due to the Crown consisting of £42,847 in respect of PAYE for the tax years 2012/13 and 2013/14; £43,643 in respect of NIC for the tax years 2012/13 and 2013/14 and £110,264 in respect of VAT for the tax years 2010/11 to 2013/14; during which time the company made payments of at least £974,675.34 to trade creditors.

In addition, there was a failure to have adequate financial controls in place thereby causing and permitting the company to misuse the company bank account, and, without the leave of the High Court he acted as a director of the company whilst he was an undischarged bankrupt.

It was also found McLaughlin displayed a want of commercial probity in bringing the company into disrepute by making false claims which may have misled customers and in so doing failed in his duty to promote the success of the Company.

He also failed to file annual returns for the periods ended April 30, 2010 and April 30, 2011, within the prescribed periods and was found to have caused or permitted the company to fail to file annual accounts for the periods ended April 30, 2010 and March 31, 2012, within the prescribed periods and failure to file annual accounts for the period ended March 2013.

In disqualification cases by order of a court, or through an undertaking accepted by the department, a person shall not be a director of a company, act as a receiver, or directly or indirectly be concerned in the promotion, formation or management of a company unless he has the leave of the High Court. A disqualified person cannot obtain permission to act as an insolvency practitioner.