Former Euromix Concrete finance director David Marsh has been disqualified for eight years from any involvement in the promotion, formation or management of a company.
It came after he provided the Insolvency Service with a disqualification undertaking, having admitted to fraudulent abuse of an invoice discounting facility.
Marsh’s abuse involved him claiming funds for non-existent invoices and claiming to have made payments to the invoice discounters when no cheques were banked or were banked at a later date, the Insolvency Service said.
In the disqualification undertaking, March, who was a director of the ready-mixed concrete supplier from 1 November 2012 to 23 May 2013, admitted causing the company to misuse its invoice discounting agreement with its funders. He also admitted entering invoices into the system during February and March 2013 that were not in respect of genuine sales, or were in respect of sales to connected parties.
Marsh also admitted responsibility for the company under-declaring PAYE deductions and national insurance contributions to HMRC in the 2012/2013 tax year.
Euromix Concrete went into administration in December 2013 with an estimated deficiency of more than £7m. Its business and assets were subsequently sold by its liquidators to Lafarge Tarmac.
Commenting on the outcome, Rob Clarke, leader of insolvent investigations north at the Insolvency Service, said: “This disqualification should demonstrate to company directors that the Insolvency Service will investigate all forms of misconduct, no matter how complicated the evidence, and that we will act to disqualify.”
Describing Marsh’s actions as “a complicated and well concealed fraud”, he added: “Marsh was aware that his actions were breaching the invoice discounting agreement and were to the risk of the funders and, ultimately, the general body of creditors.”
