Source: http://www.legislation.gov.uk/ukpga/1986/46/2019-01-31
Timestamp: 2019-05-21 21:54:51
Document Index: 192156706

Matched Legal Cases: ['art. 6', 'art. 3', 'art. 3', 'art. 217', 'art. 2', 'art. 2', 'art. 3', 'art. 2', 'art. 3', 'art. 2', 'art. 3', 'art. 16', 'art. 2', 'art. 3', 'art. 16', 'art. 3', 'art. 2', 'art. 3', 'art. 3', 'arts 1', 'art. 3', 'art. 3', 'art. 2', 'art. 10', 'art. 2', 'art. 10', 'art. 2', 'art. 10', 'art. 10', 'art. 12', 'art. 2', 'art. 3', 'arts 1', 'art. 3', 'art. 2', 'art. 10', 'art. 2', 'art. 2', 'art. 2', 'art. 3', 'art. 2', 'art. 2', 'art. 2', 'art. 2', 'art. 6', 'art. 16', 'art. 16', 'art. 2', 'art. 3', 'art. 2', 'art. 3', 'art. 2', 'art. 5', 'art. 2', 'art. 5', 'art. 2', 'art. 5', 'art. 16', 'art. 2', 'art. 2', 'art. 3', 'art. 6', 'art. 16', 'art. 2', 'art. 3', 'art. 2', 'art. 1', 'art. 3', 'art. 2', 'art. 2', 'art 1', 'art. 2', 'art. 2', 'art. 2', 'art. 2', 'art. 1', 'art. 3', 'art. 1', 'art. 3', 'art. 1', 'art. 3', 'art. 1', 'art. 3', 'art. 1', 'art. 3', 'art. 3', 'art. 4', 'art. 2', 'art. 3', 'art. 3', 'art. 2', 'art. 10', 'art. 6', 'art. 16', 'art. 1', 'art. 2', 'art. 10', 'art. 2', 'art. 3', 'art. 2', 'art. 10', 'art. 2', 'art. 1', 'art. 2', 'art. 3', 'art. 2', 'art. 1', 'art. 16', 'art. 2', 'art. 3', 'art. 2', 'art. 1', 'art. 2', 'art. 3', 'art. 2', 'art. 1', 'art. 2', 'art. 10', 'art. 2', 'art. 10', 'art. 6', 'art. 16', 'art. 2', 'art. 3', 'art. 2', 'art. 2', 'art. 1', 'art. 3', 'art. 2', 'art. 3', 'art. 2', 'art. 2', 'art. 2', 'art. 1', 'art. 3', 'art. 16', 'art. 2', 'art. 3', 'art. 2', 'art. 3', 'art. 2', 'art. 3', 'art. 2', 'art. 10', 'art. 2', 'art. 1', 'art. 3', 'art. 2', 'art. 3', 'art. 2', 'art. 3', 'art. 2', 'art. 10', 'art. 2', 'art. 1', 'art. 6', 'art. 16', 'art. 16', 'art. 2', 'art. 2', 'art. 2', 'art. 10', 'art. 2', 'art. 2', 'art. 2', 'art. 10', 'art. 6', 'art. 16', 'art. 16', 'art. 2', 'art. 10', 'art. 2', 'art. 10', 'art. 2', 'art. 3', 'art. 2', 'art. 3', 'art. 3', 'art. 3', 'art. 12', 'art 5', 'art. 2', 'art. 10', 'art. 2', 'art. 10', 'art. 2', 'art. 3', 'art. 2', 'art. 3', 'art. 2', 'art. 10', 'art. 2', 'art. 10', 'art. 2', 'art. 10', 'art. 3', 'art. 2', 'art. 10', 'art. 2', 'art. 3', 'art. 2', 'art. 2', 'art. 2', 'art. 1', 'art. 16', 'art. 2', 'art. 10', 'art. 2', 'art. 10', 'art. 2', 'art. 10']

Company Directors Disqualification Act 1986 is up to date with all changes known to be in force on or before 21 May 2019. There are changes that may be brought into force at a future date. Changes that have been made appear in the content and are referenced with annotations.
1986 CHAPTER 46
C1Act applied (with modifications) (6.4.2001) by S.I. 2001/1090, reg. 4(2), Sch. 2 Pt. II
Act applied (with modifications) (29.3.2009) by 1986 c. 53, s. 90E (as inserted by S.I. 2009/2142, art. 6)
C2Act applied (with modifications) (21.2.2009) by Banking Act 2009 (c. 1), ss. 121, 263(1) (with s. 247); S.I. 2009/296, art. 3, Sch. para. 2 (as amended (7.4.2017) by S.I. 2017/400, regs. 1(2), 5(6))
C3Act applied (with modifications) (21.2.2009) by Banking Act 2009 (c. 1), ss. 155, 263(1) (with s. 247); S.I. 2009/296, art. 3, Sch. para. 3 (as amended (7.4.2017) by S.I. 2017/400, regs. 1(2), 5(11))
C4Act modified by S.I. 1986/2142, arts. 1(2), 3
Act modified (8.2.2011) by The Investment Bank Special Administration Regulations 2011 (S.I. 2011/245), reg. 25, Sch. 4 para. 3
Act modified (30.6.2011) by The Investment Bank Special Administration (England and Wales) Rules 2011 (S.I. 2011/1301), rule 334
C5Act modified (8.2.2011) by The Investment Bank Special Administration Regulations 2011 (S.I. 2011/245), reg. 23 (as amended (7.4.2017) by S.I. 2017/400, regs. 1(2), 10(6))
C6Act applied (in part) by S.I. 1989/638, reg. 20 (as amended (1.10.2009) by The European Economic Interest Regulations 2009 (S.I. 2009/2399), reg. 21 (with reg. 2))
Act applied (1.8.2007) by The European Grouping of Territorial Cooperation Regulations 2007 (S.I. 2007/1949), reg. 9
C7Act: power to amend conferred (17.2.2009 for specified purposes and 21.2.2009 otherwise) by Banking Act 2009 (c. 1), ss. 158(2)(b), 159(2)(b), 263(1) (with s. 247); S.I. 2009/296, arts. 2, 3, Sch. para. 3
C8Act excluded (10.1.2015) by The Bank Recovery and Resolution (No. 2) Order 2014 (S.I. 2014/3348), art. 217
C9Act applied (with modifications) (31.7.2015) by The European Grouping of Territorial Cooperation Regulations 2015 (S.I. 2015/1493), reg. 10 (with reg. 11)
I1Act wholly in force at 29.12.1986 by s. 25 and S.I. 1986/1924
1 Disqualification orders: general. E+W+S
(1)In the circumstances specified below in this Act a court may, and under [F1sections 6 and 9A] shall, make against a person a disqualification order, that is to say an order that [F2for a period specified in the order—
(b)he shall not act as an insolvency practitioner.]
(2)In each section of this Act which gives to a court power or, as the case may be, imposes on it the duty to make a disqualification order there is specified the maximum (and, in [F3sections 6 and 8ZA], the minimum) period of disqualification which may or (as the case may be) must be imposed by means of the order [F4and, unless the court otherwise orders, the period of disqualification so imposed shall begin at the end of the period of 21 days beginning with the date of the order].
(3)Where a disqualification order is made against a person who is already subject to such an order [F5or to a disqualification undertaking], the periods specified in those orders [F5or, as the case may be, in the order and the undertaking] shall run concurrently.
(4)A disqualification order may be made on grounds which are or include matters other than criminal convictions, notwithstanding that the person in respect of whom it is to be made may be criminally liable in respect of those matters.
F1Words in s. 1(1) substituted (20.6.2003) by 2002 c. 40, ss. 204(3), 279; S.I. 2003/1397, art. 2, Sch.
F2Words in s. 1(1) substituted (2.4.2001) by 2000 c. 39, s. 5(1); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F3Words in s. 1(2) substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 2; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F4Words in s. 1(2) inserted (2.4.2001) by 2000 c. 39, s. 5(2); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F5Words in s. 1(3) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 2; S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
C10Ss. 1, 2 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
C11S. 1 applied (with modifications) by S.I. 1994/2421, art. 16, Sch. 8 (as amended (E.W.) (8.12.2017) by The Insolvency (Miscellaneous Amendments) Regulations 2017 (S.I. 2017/1119), reg. 1(1), Sch. 2 paras. 4, 8)
[F61A Disqualification undertakings: general.E+W+S
(1)In the circumstances specified in sections [F75A, 7, 8, 8ZC and 8ZE] the Secretary of State may accept a disqualification undertaking, that is to say an undertaking by any person that, for a period specified in the undertaking, the person—
(2)The maximum period which may be specified in a disqualification undertaking is 15 years; and the minimum period which may be specified in a disqualification undertaking under section 7 [F8or 8ZC] is two years.
(4)In determining whether to accept a disqualification undertaking by any person, the Secretary of State may take account of matters other than criminal convictions, notwithstanding that the person may be criminally liable in respect of those matters.]
F6S. 1A inserted (2.4.2001) by 2000 c. 39, s. 6(2); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F7Words in s. 1A(1) substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 3(2); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F8Words in s. 1A(2) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 3(3); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
C12S. 1A applied (with modifications) by S.I. 1994/2421, art. 16, Sch. 8 (as amended (E.W.) (8.12.2017) by The Insolvency (Miscellaneous Amendments) Regulations 2017 (S.I. 2017/1119), reg. 1(1), Sch. 2 paras. 4, 8)
Disqualification for general misconduct in connection with companiesE+W+S
2 Disqualification on conviction of indictable offence. E+W+S
(1)The court may make a disqualification order against a person where he is convicted of an indictable offence (whether on indictment or summarily) in connection with the promotion, formation, management [F9liquidation or striking off] of a company [F10with the receivership of a company’s property or with his being an administrative receiver of a company].
[F11(1A)In subsection (1), “company” includes overseas company.]
(2)“The court” for this purpose means—
(a)any court having jurisdiction to wind up the company in relation to which the offence was committed, or
[F12(aa)in relation to an overseas company not falling within paragraph (a), the High Court or, in Scotland, the Court of Session, or]
(c)in the case of a summary conviction in England and Wales, any other magistrates’ court acting [F13in the same local justice] area;
M1and for the purposes of this section the definition of “indictable offence” in Schedule 1 to the Interpretation Act 1978 applies for Scotland as it does for England and Wales.
(3)The maximum period of disqualification under this section is—
F9Words in s. 2(1) substituted (1.7.1995) by 1994 c. 40, s. 39, Sch. 11 para. 6; S.I. 1995/1433, art. 3
F10Words in s. 2(1) substituted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 3; S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F11S. 2(1A) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 4(2); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F12S. 2(2)(aa) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 4(3); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F13Words in s. 2(2)(c) substituted (1.4.2005) by Courts Act 2003 (c. 39), ss. 109(1), 110, Sch. 8 para. 30(a); S.I. 2005/910, art. 3(y)
C13Ss. 1, 2 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
3 Disqualification for persistent breaches of companies legislation.E+W+S
(1)The court may made a disqualification order against a person where it appears to it that he has been persistently in default in relation to provisions of the companies legislation requiring any return, account or other document to be filed with, delivered or sent, or notice of any matter to be given, to the registrar of companies.
(2)On an application to the court for an order to be made under this section, the fact that a person has been persistently in default in relation to such provisions as are mentioned above may (without prejudice to its proof in any other manner) be conclusively proved by showing that in the 5 years ending with the date of the application he has been adjudged guilty (whether or not on the same occasion) of three or more defaults in relation to those provisions.
(3)A person is to be treated under subsection (2) as being adjudged guilty of a default in relation to any provision of that legislation if—
(a)he is convicted (whether on indictment or summarily) of an offence consisting in a contravention of or failure to comply with that provision (whether on his own part or on the part of any company), or
(i)[F14section 452 of the Companies Act 2006] (order requiring delivery of company accounts),
[F15(ia)[F16section 456] of that Act (order requiring preparation of revised accounts),]
[F17(ii)section 1113 of that Act (enforcement of company's filing obligations)]
(iii)section 41 of the Insolvency Act [F181986](enforcement of receiver’s or manager’s duty to make returns), or
(iv)section 170 of that Act (corresponding provision for liquidator in winding up),
in respect of any such contravention of or failure to comply with that provision (whether on his own part or on the part of any company).
[F19(3A)In this section “company” includes overseas company.]
(4)In this section “the court” means
[F20(a)]any court having jurisdiction to wind up any of the companies in relation to which the offence or other default has been or is alleged to have been committed[F21, or
(b)in relation to an overseas company not falling within paragraph (a), the High Court or, in Scotland, the Court of Session.]
[F22(4A)In this section “the companies legislation” means the Companies Acts and Parts 1 to 7 of the Insolvency Act 1986 (company insolvency and winding up).]
(5)The maximum period of disqualification under this section is 5 years.
F14Words in s. 3(3)(b)(i) substituted (6.4.2008) by The Companies Act 2006 (Consequential Amendments etc) Order 2008 (S.I. 2008/948), art. 3(1), Sch. 1 para. 106(2)(a) (with arts. 6, 11, 12)
F15S. 3(3)(b)(ia) added (subject to the transitional and savings provisions in S.I. 1990/2569, arts. 3, 6) after s. 3(3)(b)(i) by Companies Act 1989 (c. 40, SIF 27), ss. 23, 213(2), Sch. 10 para. 35(2)(b)
F16Words in s. 3(3)(b)(ia) substituted (6.4.2008) by The Companies Act 2006 (Consequential Amendments etc) Order 2008 (S.I. 2008/948), art. 3(1), Sch. 1 para. 106(2)(b) (with arts. 6, 11, 12)
F17Words in s. 3(b)(ii) substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(2)(a)(i) (with art. 10)
F18Words in s. 3(b)(iii) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(2)(a)(ii) (with art. 10)
F19S. 3(3A) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 5(2); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F20Words in s. 3(4) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 5(3)(a); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F21S. 3(4)(b) and preceding word inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 5(3)(b); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F22S. 3(4A) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(2)(b) (with art. 10)
4 Disqualification for fraud, etc., in winding up. E+W+S
(1)The court may make a disqualification order against a person if, in the course of the winding up of a company, it appears that he—
(a)has been guilty of an offence for which he is liable (whether he has ben convicted or not) under [F23section 993 of the Companies Act 2006] (fraudulent trading), or
(b)has otherwise been guilty, while an officer or liquidator of the company [F24receiver of the company’s property or administrative receiver of the company], of any fraud in relation to the company or of any breach of his duty as such officer, liquidator, [F24receiver or administrative receiver].
(2)In this section “the court” means any court having jurisdiction to wind up any of the companies in relation to which the offence or other default has been or is alleged to have been committed; and “officer” includes a shadow director.
(3)The maximum period of disqualification under this section is 15 years.
F23Words in s. 4(1)(a) substituted (1.10.2007) by The Companies Act 2006 (Commencement No. 3, Consequential Amendments, Transitional Provisions and Savings) Order 2007 (S.I. 2007/2194), art. 10(1), Sch. 4 para. 46 (with art. 12)
F24Words in s. 4(1)(b) substituted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 4; S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
C14Ss. 4–6 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
5 Disqualification on summary conviction. E+W+S
(1)An offence counting for the purposes of this section is one of which a person is convicted (either on indictment or summarily) in consequence of a contravention of, or failure to comply with, any provision of the companies legislation requiring a return, account or other document to be filed with, delivered or sent, or notice of any matter to be given, to the registrar of companies (whether the contravention or failure is on the person’s own part or on the part of any company).
(2)Where a person is convicted of a summar offence counting for those purposes, the court by which he is convicted (or, in England and Wales, any other magistrates’ court acting [F25in the same local justice] area) may make a disqualification order against him if the circumstances specified in the next subsection are present.
(3)Those circumstances are that, during the 5 years ending with the date of the conviction, the person has had made against him, or has been convicted of, in total not less than 3 default orders and offences counting for the purposes of this section; and those offences may include that of which he is convicted as mentioned in subsection (2) and any other offence of which he is convicted on the same occasion.
(a)the definition of “summary offence” in Schedule 1 to the M2Interpretation Act 1978 applies for Scotland as for England and Wales, and
(b)“default order” means the same as in section 3(3)(b).
[F26(4A)In this section “the companies legislation” means the Companies Acts and Parts 1 to 7 of the Insolvency Act 1986 (company insolvency and winding up).]
[F27(4B)In this section “company” includes overseas company.]
F25Words in s. 5(2) substituted (1.4.2005) by Courts Act 2003 (c. 39), ss. 109(1), 110, Sch. 8 para. 30(b); S.I. 2005/910, art. 3(y)
F26S. 5(4A) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(3) (with art. 10)
F27S. 5(4B) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 6; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
C15Ss. 4–6 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
[F285ADisqualification for certain convictions abroadE+W+S
(6)The maximum period of disqualification under an order under this section is 15 years.]
F28S. 5A inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force with effect in accordance with s. 104(2) of the amending Act) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 104(1), 164(1) (with s. 104(2)); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(c) (with Sch. para. 3)
Disqualification for unfitnessE+W+S
(b)that his conduct as a director of that company (either taken alone or taken together with his conduct as a director of [F29one or more other companies or overseas companies]) makes him unfit to be concerned in the management of a company.
[F30(1A)In this section references to a person's conduct as a director of any company or overseas company include, where that company or overseas company has become insolvent, references to that person's conduct in relation to any matter connected with or arising out of the insolvency.]
(2)For the purposes of this section F31... , a company becomes insolvent if—
[F32(b)the company enters administration,]
[F34(2A)For the purposes of this section, an overseas company becomes insolvent if the company enters into insolvency proceedings of any description (including interim proceedings) in any jurisdiction.]
[F35(3)In this section and section 7(2), “the court” means—
[F36(c)where neither paragraph (a) nor (b) applies but an administrator or administrative receiver has at any time been appointed in respect of the company in question, any court which has jurisdiction to wind it up.]
(3A)Sections 117 and 120 of the M3Insolvency Act 1986 (jurisdiction) shall apply for the purposes of subsection (3) as if the references in the definitions of “registered office” to the presentation of the petition for winding up were references—
[F37(b)in a case within paragraph (c) of that subsection, to the appointment of the administrator or (as the case may be) administrative receiver.]
F29Words in s. 6(1)(b) substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(2)(a), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d) (with Sch. para. 2)
F30S. 6(1A) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(2)(b), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d) (with Sch. para. 2)
F31Words in s. 6(2) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 7; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F32S. 6(2)(b) substituted (15.9.2003) by 2002 c. 40, ss. 248(3), 279, Sch. 17 para. 41(a) (with s. 249(1)-(3)); S.I. 2003/2093, art. 2(1), Sch. 1 (subject to transitional provisions in arts. 3-8 (as amended by S.I. 2003/2332, art. 2))
F33Words in s. 6(2) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(2)(c), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d) (with Sch. para. 2)
F34S. 6(2A) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(2)(d), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d) (with Sch. para. 2)
F35S. 6(3)-(3C) substituted (2.4.2001) for s. 6(3) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 5; S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F36S. 6(3)(c) substituted (15.9.2003) by 2002 c. 40, ss. 248(3), 279, Sch. 17 para. 41(b) (with s. 249(1)-(3)); S.I. 2003/2093, art. 2(1), Sch. 1 (subject to transitional provisions in arts. 3-8 (as amended by S.I. 2003/2332, art. 2))
F37S. 6(3A)(b) substituted (15.9.2003) by 2002 c. 40, ss. 248(3), 279, Sch. 17 para. 41(c) (with s. 249(1)-(3)); S.I. 2003/2093, art. 2(1), Sch. 1 (subject to transitional provisions in arts. 3-8 (as amended by S.I. 2003/2332, art. 2))
C16Ss. 4–6 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
C17Ss. 6–7 extended (with modifications) by S.I. 1986/2142, art. 6
C18s. 6 applied (with modifications) (1.12.1994) by S.I. 1994/2421, art. 16, Sch. 8
C19Ss. 6-10 applied (with modifications) by S.I. 1994/2421, art. 16, Sch. 8 (as amended (E.W.) (8.12.2017) by The Insolvency (Miscellaneous Amendments) Regulations 2017 (S.I. 2017/1119), reg. 1(1), Sch. 2 paras. 4, 8)
C20S. 6(2) applied (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 108(3), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(e)
7 [F38Disqualification orders under section 6: applications and acceptance of undertakings]E+W+S
(b)if the Secretary of State so directs in the case of a person who is or has been a director of a company which is being [F39or has been] wound up by the court in England and Wales, by the official receiver.
(2)Except with the leave of the court, an application for the making under that section of a disqualification order against any person shall not be made after the end of the period of [F403 years] beginning with the day on which the company of which that person is or has been a director became insolvent.
[F41(2A)If it appears to the Secretary of State that the conditions mentioned in section 6(1) are satisfied as respects any person who has offered to give him a disqualification undertaking, he may accept the undertaking if it appears to him that it is expedient in the public interest that he should do so (instead of applying, or proceeding with an application, for a disqualification order).]
(4)The Secretary of State or the official receiver may require [F43any person] —
(a)to furnish him with such information with respect to [F44that person's or another person's conduct as a director of a company which has at any time become insolvent (whether while the person was a director or subsequently), and]
(b)to produce and permit inspection of such books, papers and other records [F45as are considered by the Secretary of State or (as the case may be) the official receiver to be relevant to that person's or another person's conduct as such a director],
[F46(5)Subsections (1A) and (2) of section 6 apply for the purposes of this section as they apply for the purposes of that section.]
F38S. 7 heading substituted (26.5.2015 for specified purposes, 6.4.2016 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 107(4), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2016/321, reg. 3(b) (with Sch. paras. 1, 2)
F39Words in s. 7(1)(b) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 6(a); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F40Words in s. 7(2) substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 108(1), 164(1) (with s. 108(2)); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(e)
F41S. 7(2A) inserted (2.4.2001) by 2000 c. 39, s. 6(3); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F42S. 7(3) omitted (26.5.2015 for specified purposes, 6.4.2016 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 107(3), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2016/321, reg. 3(b) (with Sch. paras. 1, 2)
F43Words in s. 7(4) substituted (1.10.2015) by Deregulation Act 2015 (c. 20), s. 115(7), Sch. 6 para. 11(2); S.I. 2015/1732, art. 2(e)(iv) (with art. 5)
F44Words in s. 7(4)(a) substituted (1.10.2015) by Deregulation Act 2015 (c. 20), s. 115(7), Sch. 6 para. 11(3); S.I. 2015/1732, art. 2(e)(iv) (with art. 5)
F45Words in s. 7(4)(b) substituted (1.10.2015) by Deregulation Act 2015 (c. 20), s. 115(7), Sch. 6 para. 11(4); S.I. 2015/1732, art. 2(e)(iv) (with art. 5)
F46S. 7(5) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 8; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
C21S. 7 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
C22S. 7 applied (with modifications) (1.12.1994) by S.I. 1994/2421, art. 16, Sch. 8
S. 7 amended (1.12.2001) by 2000 c. 8, s. 356(1) (as substituted by 2000 c. 39, ss. 15(3)(a)(b), 16(1)); S.I. 3538, art. 2(1)
[F477AOffice-holder's report on conduct of directorsE+W+S
“director” includes a shadow director.]
F47S. 7A inserted (26.5.2015 for specified purposes, 6.4.2016 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 107(2), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2016/321, reg. 3(b) (with Sch. paras. 1, 2)
8 [F48Disqualification of director on finding of unfitness.] E+W+S
[F49(1)If it appears to the Secretary of State F50... that it is expedient in the public interest that a disqualification order should be made against a person who is, or has been, a director or shadow director of a company, he may apply to the court for such an order.
F51(1A). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ]
(2)The court may make a disqualification order against a person where, on an application under this section, it is satisfied that his conduct in relation to the company [F52(either taken alone or taken together with his conduct as a director or shadow director of one or more other companies or overseas companies)] makes him unfit to be concerned in the management of a company.
[F53(2A)Where it appears to the Secretary of State F54... that, in the case of a person who has offered to give him a disqualification undertaking—
(a)the conduct of the person in relation to a company of which the person is or has been a director or shadow director [F55(either taken alone or taken together with his conduct as a director or shadow director of one or more other companies or overseas companies)] makes him unfit to be concerned in the management of a company, and
(b)it is expedient in the public interest that he should accept the undertaking (instead of applying, or proceeding with an application, for a disqualification order),]
[F56(2B)Subsection (1A) of section 6 applies for the purposes of this section as it applies for the purposes of that section.]
F48S. 8 heading substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 109(2), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(e)
F49S. 8(1)(1A) substituted (1.12.2001) for s. 8(1) by S.I. 2001/3649, arts. 1, 39
F50Words in s. 8(1) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 109(1)(a), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(e)
F51S. 8(1A) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 109(1)(b), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(e)
F52Words in s. 8(2) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(3)(a), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d) (with Sch. para. 2)
F53S. 8(2A) inserted (2.4.2001) by 2000 c. 39, s. 6(4); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F54Words in s. 8(2A) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 109(1)(c), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(e)
F55Words in s. 8(2A)(a) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(3)(b), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d) (with Sch. para. 2)
F56S. 8(2B) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(3)(c), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d) (with Sch. para. 2)
C23S. 8 extended (with modifications) by S.I. 1986/2142, art. 6
C24S. 8 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
C25S. 8 applied (with modifications) (1.12.1994) by S.I. 1994/2421, art. 16, Sch. 8 (as amended (1.12.2001) by S.I. 2001/3649, arts. 1, 470)
[F57Persons instructing unfit directorsE+W+S
F57Ss. 8ZA-8ZE and cross-heading inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 105, 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(c) (with Sch. para. 1)
8ZAOrder disqualifying person instructing unfit director of insolvent companyE+W+S
8ZBApplication for order under section 8ZAE+W+S
8ZCDisqualification undertaking instead of an order under section 8ZAE+W+S
8ZDOrder disqualifying person instructing unfit director: other casesE+W+S
8ZEDisqualification undertaking instead of an order under section 8ZDE+W+S
(3)But P does not exercise the requisite amount of influence over the main transgressor by reason only that the main transgressor acts on advice given by P in a professional capacity.]
[F58Further provision about disqualification undertakings]E+W+S
F58S. 8A cross-heading inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 9; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
[F598A Variation etc. of disqualification undertaking.E+W+S
[F60(2A)Subsection (2) does not apply to an application in the case of an undertaking given under section 9B, and in such a case on the hearing of the application whichever of the [F61Competition and Markets Authority] or a specified regulator (within the meaning of section 9E) accepted the undertaking—
[F62(3)In this section “the court”—
[F63(za)in the case of an undertaking given under section 8ZC has the same meaning as in section 8ZA;
(zb)in the case of an undertaking given under section 8ZE means the High Court or, in Scotland, the Court of Session;]
(b)in any other case has the same meaning as in section [F645A(5),] 7(2) or 8 (as the case may be).]]
F59S. 8A inserted (2.4.2001) by 2000 c. 39, s. 6(5); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F60S. 8A(2A) inserted (20.6.2003) by 2002 c. 40, ss. 204(4), 279; S.I. 2003/1397, art. 2, Sch.
F61Words in s. 8A(2A) substituted (1.4.2014) by The Enterprise and Regulatory Reform Act 2013 (Competition) (Consequential, Transitional and Saving Provisions) Order 2014 (S.I. 2014/892), art. 1(1), Sch. 1 para. 53(a) (with art. 3)
F62S. 8A(3) substituted (20.6.2003) by 2002 c. 40, ss. 204(5), 279; S.I. 2003/1397, art. 2, Sch.
F63S. 8A(3)(za)(zb) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 10(a); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F64Word in s. 8A(3)(b) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 10(b); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F659 Matters for determining unfitness of directors. E+W+S
F65S. 9 omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(4), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d)
[F66Disqualification for competition infringementsE+W+S
F66Ss. 9A-9E and cross-heading inserted (20.6.2003) by 2002 c. 40, ss. 204(2), 279; S.I. 2003/1397, art. 2, Sch.
9A Competition disqualification orderE+W+S
(c)[F67Article 101 of the Treaty on the Functioning of the European Union] (prohibition on agreements, etc. preventing, restricting or distorting competition);
(d)[F68Article 102] of that Treaty (prohibition on abuse of a dominant position).
(10)An application under this section for a disqualification order may be made by the [F69Competition and Markets Authority] or by a specified regulator.
(11)Section 60 of the Competition Act 1998 (c. 41) (consistent treatment of questions arising under United Kingdom and [F70EU] law) applies in relation to any question arising by virtue of subsection (4)(a) or (b) above as it applies in relation to any question arising under Part 1 of that Act.
F67Words in s. 9A(4)(c) substituted (1.8.2012) by The Treaty of Lisbon (Changes in Terminology or Numbering) Order 2012 (S.I. 2012/1809), art. 2(1), Sch. Pt. 1 (with art. 2(2))
F68Words in s. 9A(4)(d) substituted (1.8.2012) by The Treaty of Lisbon (Changes in Terminology or Numbering) Order 2012 (S.I. 2012/1809), art. 2(1), Sch. Pt. 1 (with art. 2(2))
F69Words in s. 9A(10) substituted (1.4.2014) by The Enterprise and Regulatory Reform Act 2013 (Competition) (Consequential, Transitional and Saving Provisions) Order 2014 (S.I. 2014/892), art. 1(1), Sch. 1 para. 53(b) (with art. 3)
F70Words in s. 9A(11) substituted (22.4.2011) by The Treaty of Lisbon (Changes in Terminology) Order 2011 (S.I. 2011/1043), arts. 3, 6(2)
9B Competition undertakingsE+W+S
(a)the [F71Competition and Markets Authority] or a specified regulator thinks that in relation to any person an undertaking which is a company of which he is a director has committed or is committing a breach of competition law,
(b)the [F71Competition and Markets Authority] or the specified regulator thinks that the conduct of the person as a director makes him unfit to be concerned in the management of a company, and
(c)the person offers to give the [F71Competition and Markets Authority] or the specified regulator (as the case may be) a disqualification undertaking.
(2)The [F71Competition and Markets Authority] or the specified regulator (as the case may be) may accept a disqualification undertaking from the person instead of applying for or proceeding with an application for a disqualification order.
(7)Subsections (4) to (8) of section 9A apply for the purposes of this section as they apply for the purposes of that section but in the application of subsection (5) of that section the reference to the court must be construed as a reference to the [F72Competition and Markets Authority] or a specified regulator (as the case may be).
F71Words in s. 9B(1)(2) substituted (1.4.2014) by The Enterprise and Regulatory Reform Act 2013 (Competition) (Consequential, Transitional and Saving Provisions) Order 2014 (S.I. 2014/892), art. 1(1), Sch. 1 para. 53(c) (with art. 3)
F72Words in s. 9B(7) substituted (1.4.2014) by The Enterprise and Regulatory Reform Act 2013 (Competition) (Consequential, Transitional and Saving Provisions) Order 2014 (S.I. 2014/892), art. 1(1), Sch. 1 para. 53(c) (with art. 3)
9C Competition investigationsE+W+S
(1)If the [F73Competition and Markets Authority] or a specified regulator has reasonable grounds for suspecting that a breach of competition law has occurred it or he (as the case may be) may carry out an investigation for the purpose of deciding whether to make an application under section 9A for a disqualification order.
(2)For the purposes of such an investigation sections 26 to 30 of the Competition Act 1998 (c. 41) apply to the [F73Competition and Markets Authority] and the specified regulators as they apply to the [F73Competition and Markets Authority] for the purposes of an investigation under section 25 of that Act.
(3)Subsection (4) applies if as a result of an investigation under this section the [F73Competition and Markets Authority] or a specified regulator proposes to apply under section 9A for a disqualification order.
(4)Before making the application the [F73Competition and Markets Authority] or regulator (as the case may be) must—
F73Words in s. 9C(1)-(4) substituted (1.4.2014) by The Enterprise and Regulatory Reform Act 2013 (Competition) (Consequential, Transitional and Saving Provisions) Order 2014 (S.I. 2014/892), art. 1(1), Sch. 1 para. 53(d) (with art. 3)
9D Co-ordinationE+W+S
[F74(ba)the reference in subsection (6A)(b) to notice under section 31(1) of the Competition Act 1998 that the regulator proposes to make a decision within the meaning given by section 31(2) of that Act is to be read as notice under section 9C(4) that the specified regulator proposes to apply under section 9A for a disqualification order;]
F74S. 9D(2)(ba) inserted (1.4.2014) by The Enterprise and Regulatory Reform Act 2013 (Competition) (Consequential, Transitional and Saving Provisions) Order 2014 (S.I. 2014/892), art. 1(1), Sch. 1 para. 54 (with art. 3)
9E InterpretationE+W+S
[F75(a)the Office of Communications;]
[F76(c)the Water Services Regulation Authority;]
(d)[F77Office of Rail and Road];
(e)the Civil Aviation Authority[F78;
(f)Monitor.]
[F79(g)the Payment Systems Regulator established under section 40 of the Financial Services (Banking Reform) Act 2013.]
[F80(h)the Financial Conduct Authority.]
(5)Director includes shadow director.]
F75S. 9E(2)(a) substituted (29.12.2003) by Communications Act 2003 (c. 21), ss. 406(1), 411(2), Sch. 17 para. 83 (with transitional provisions in Sch. 18); S.I. 2003/3142, art. 3(1), Sch. 1
F76S. 9E(2)(c) substituted (1.4.2006) by Water Act 2003 (c. 37), ss. 101(1), 105(3), Sch. 7 para. 25; S.I. 2005/2714, art. 4(f) (with Sch. para. 8)
F77Words in s. 9E(2)(d) substituted (16.10.2015) by The Office of Rail Regulation (Change of Name) Regulations 2015 (S.I. 2015/1682), reg. 1(2), Sch. para. 4(h)
F78S. 9E(2)(f) and punctuation inserted (1.4.2013) by Health and Social Care Act 2012 (c. 7), ss. 74(4), 306(4); S.I. 2013/160, art. 2(2) (with arts. 7-9)
F79S. 9E(2)(g) inserted (1.4.2015) by Financial Services (Banking Reform) Act 2013 (c. 33), ss. 67(1), 148(5); S.I. 2014/2458, art. 3(b)(iii)
F80S. 9E(2)(h) inserted (1.4.2015) by Financial Services (Banking Reform) Act 2013 (c. 33), s. 148(5), Sch. 8 para. 8; S.I. 2014/2458, art. 3(b)(v)
Other cases of disqualificationE+W+S
(1)Where the court makes a declaration under section 213 or 214 of the Insolvency Act [F811986] that a person is liable to make a contribution to a company’s assets, then, whether or not an application for such an order is made by any person, the court may, if it thinks fit, also make a disqualification order against the person to whom the declaration relates.
[F82(3)In this section “company” includes overseas company.]
F81Words in s. 10(1) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(6)(a) (with art. 10)
F82S. 10(3) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 11; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
C26Ss. 9, 10 extended (with modifications) by S.I. 1986/2142, art. 6
C27Ss. 9, 10 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
C28S. 10 applied (1.12.1994) by S.I. 1994/2421, art. 16, Sch. 8
11 Undischarged bankrupts. E+W+S
[F83(1)It is an offence for a person to act as director of a company or directly or indirectly to take part in or be concerned in the promotion, formation or management of a company, without the leave of the court, at a time when any of the circumstances mentioned in subsection (2) apply to the person.
(i)the Bankruptcy (Scotland) Act 1985 [F84or 2016] or the Insolvency Act 1986, or
[F85(i)the court by which the bankruptcy order was made or (if the order was not made by a court) the court to which a debtor may appeal against a refusal to make a bankruptcy order, or]
(e)for the purposes of paragraphs (a)(ii), (b)(ii), (c)(ii) and (d)(ii) of subsection (2), the High Court of Northern Ireland.]
(3)In England and Wales, the leave of the court shall not be given unless notice of intention to apply for it has been served on the official receiver; and it is the latter’s duty, if he is of opinion that it is contrary to the public interest that the application should be granted, to attend on the hearing of the application and oppose it.
[F86(4)In this section “company” includes a company incorporated outside Great Britain that has an established place of business in Great Britain.]
F83S. 11(1)-(2A) substituted for s. 11(1)(2) (1.10.2015) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 113(1), 164(1); S.I. 2015/1689, reg. 2(i) (with Sch. para. 11)
F84Words in s. 11(2)(b)(i) inserted (30.11.2016) by The Bankruptcy (Scotland) Act 2016 (Consequential Provisions and Modifications) Order 2016 (S.I. 2016/1034), art. 1, Sch. 1 para. 5
F85S. 11(2A)(a)(i) substituted (6.4.2016) by The Enterprise and Regulatory Reform Act 2013 (Consequential Amendments) (Bankruptcy) and the Small Business, Enterprise and Employment Act 2015 (Consequential Amendments) Regulations 2016 (S.I. 2016/481), reg. 1, Sch. 1 para. 8
F86S. 11(4) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(7) (with art. 10)
C29Ss. 11, 12(2) extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
12 Failure to pay under county court administration order.E+W+S
(1)The following has effect where a court under section 429 of the Insolvency Act revokes an administration order under Part VI of the M4County Courts Act 1984.
(2)A person to whom that section applies by virtue of the order under section 429(2)(b) shall not, except with the leave of the court which made the order, act as director or liquidator of, or directly or indirectly take part or be concerned in the promotion, formation or management of, a company.
C30Ss. 11, 12(2) extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
M41984 c. 28.
[F8712A Northern Irish disqualification orders.E+W+S
A person subject to a disqualification order under [F88the Company Directors Disqualification (Northern Ireland) Order 2002]—
(b)shall not act as an insolvency practitioner.]
F87S. 12A inserted (2.4.2001) by 2000 c. 39, s. 7(1); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F88Words in s. 12A substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009) (S.I. 2009/1941), art. 2(1), {Sch. 1 para. 85(8))} (with art. 10)
[F8912BNorthern Irish disqualification undertakingsE+W+S
F89S. 12B inserted (1.9.2004) by The Insolvency Act 2000 (Company Directors Disqualification Undertakings) Order 2004 (S.I. 2004/1941), art. 2(2) (with art. 1(2))
[F9012CDetermining unfitness etc: matters to be taken into accountE+W+S
(9)An order under this section may not be made unless a draft of the instrument containing it has been laid before, and approved by a resolution of, each House of Parliament.]
F90S. 12C inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(5), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d)
Consequences of contraventionE+W+S
13 Criminal penalties.E+W+S
—If a person acts in contravention of a disqualification order or [F91disqualification undertaking or in contravention] of section 12(2) [F92, 12A or 12B], or is guilty of an offence under section 11, he is liable—
F91Words in s. 13 inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 8(a)(b); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F92Words in s. 13 substituted (1.9.2004) by The Insolvency Act 2000 (Company Directors Disqualification Undertakings) Order 2004 (S.I. 2004/1941), art. 2(3) (with art. 1(2))
C31Ss. 13-15 applied (with modifications) by S.I. 1994/2421, art. 16, Sch. 8 (as amended (E.W.) (8.12.2017) by The Insolvency (Miscellaneous Amendments) Regulations 2017 (S.I. 2017/1119), reg. 1(1), Sch. 2 paras. 4, 8)
14 Offences by body corporate.E+W+S
(1)Where a body corporate is guilty of an offence of acting in contravention of a disqualification order [F93or disqualification undertaking or in contravention of section 12A][F94or 12B], and it is proved that the offence occurred with the consent or connivance of, or was attributable to any neglect on the part of any director, manager, secretary or other similar officer of the body corporate, or any person who was purporting to act in any such capacity he, as well as the body corporate, is guilty of the offence and liable to be proceeded against and punished accordingly.
F93Words in s. 14(1) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 9; S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F94Words in s. 14(1) inserted (1.9.2004) by The Insolvency Act 2000 (Company Directors Disqualification Undertakings) Order 2004 (S.I. 2004/1941), art. 2(4) (with art. 1(2))
15 Personal liability for company’s debts where person acts while disqualified. E+W+S
(1)A person is personally responsible for all the relevant debts of a company if at any time—
(a)in contravention of a disqualification order or [F95disqualification undertaking or in contravention] of section 11 [F96, 12A or 12B] of this Act he is involved in the management of the company, or
[F97(b)as a person who is involved in the management of the company, he acts or is willing to act on instructions given without the leave of the court by a person whom he knows at that time—
(i)to be the subject of a disqualification order made or disqualification undertaking accepted under this Act or under the Company Directors Disqualification (Northern Ireland) Order 2002, or
(ii)to be an undischarged bankrupt.]
(2)Where a person is personally responsible under this section for the relevant debts of a company, he is jointly and severally liable in respect of those debts with the company and any other person who, whether under this section or otherwise, is so liable.
(3)For the purposes of this section the relevant debts of a company are—
(a)in relation to a person who is personally responsible under paragraph (a) of subsection (1), such debts and other liabilities of the company as are incurred at a time when that person was involved in the management of the company, and
(b)in relation to a person who is personally responsible under paragraph (b) of that subsection, such debts and other liabilities of the company as are incurred at a time when that person was acting or was willing to act on instructions given as mentioned in that paragraph.
(4)For the purposes of this section, a person is involved in the management of a company if he is a director of the company or if he is concerned, whether directly or indirectly, or takes part, in the management of the company.
[F98(5)For the purposes of this section a person who, as a person involved in the management of a company, has at any time acted on instructions given without the leave of the court by a person whom he knew at that time—
(a)to be the subject of a disqualification order made or disqualification undertaking accepted under this Act or under the Company Directors Disqualification (Northern Ireland) Order 2002, or
(b)to be an undischarged bankrupt,
is presumed, unless the contrary is shown, to have been willing at any time thereafter to act on any instructions given by that person.]
F95Words in s. 15(1)(a) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 10(2)(a); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F96Words in s. 15(1)(a) substituted (1.9.2004) by The Insolvency Act 2000 (Company Directors Disqualification Undertakings) Order 2004 (S.I. 2004/1941), art. 2(5)(a)(i) (with art. 1(2))
F97S. 15(1)(b) substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(9)(a) (with art. 10)
F98S. 15(5) substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(9)(b) (with art. 10)
C32S. 15 extended (with modifications) by S.I. 1986/2142, art. 6
C33S. 15 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
C34S. 15 applied (1.12.1994) by S.I. 1994/2421, art. 16, Sch. 8
[F99Compensation orders and undertakingsE+W+S
F99Ss. 15A-15C and cross-heading inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 110, 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(f) (with Sch. para. 4)
15ACompensation orders and undertakingsE+W+S
15BAmounts payable under compensation orders and undertakingsE+W+S
15CVariation and revocation of compensation undertakingsE+W+S
(2)On the hearing of an application under subsection (1), the Secretary of State must appear and call the attention of the court to any matters which the Secretary of State considers relevant, and may give evidence or call witnesses.]
16 Application for disqualification order. E+W+S
(1)A person intending to apply for the making of a disqualification order F100... shall give not less than 10 days’ notice of his intention to the person against whom the order is sought; and on the hearing of the application the last-mentioned person may appear and himself give evidence or call witnesses.
(2)An application to a court[F101, other than a court mentioned in section 2(2)(b) or (c),] for the making against any person of a disqualification order under any of sections 2 to [F1024] may be made by the Secretary of State or the official receiver, or by the liquidator or any past or present member or creditor of any company [F103or overseas company] in relation to which that person has committed or is alleged to have committed an offence or other default.
(3)On the hearing of any application under this Act made by [F104a person falling within subsection (4)], the applicant shall appear and call the attention of the court to any matters which seem to him to be relevant, and may himself give evidence or call witnesses.
[F105(4)The following fall within this subsection—
(c)the [F106Competition and Markets Authority];
(e)a specified regulator (within the meaning of section 9E).]
F100Words in s. 16(1) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 12(2); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F101Words in s. 16(2) substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 12(3)(a); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F102Figure in s. 16(2) substituted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 11(1); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3
F103Words in s. 16(2) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 12(3)(b); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F104Words in s. 16(3) substituted (20.6.2003) by 2002 c. 40, ss. 204(6), 279; S.I. 2003/1397, art. 2, Sch.
F105S. 16(4) inserted (20.6.2003) by 2002 c. 40, ss. 204(7), 279; S.I. 2003/1397, art. 2, Sch.
F106Words in s. 16(4)(c) substituted (1.4.2014) by The Enterprise and Regulatory Reform Act 2013 (Competition) (Consequential, Transitional and Saving Provisions) Order 2014 (S.I. 2014/892), art. 1(1), Sch. 1 para. 53(e) (with art. 3)
C35Ss. 16, 17 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
[F10717 Application for leave under an order or undertaking.E+W+S
(3)Where a person is subject to a disqualification undertaking accepted at any time under section [F1085A,] 7 or 8, any application for leave for the purposes of section 1A(1)(a) shall be made to any court to which, if the Secretary of State had applied for a disqualification order under the section in question at that time, his application could have been made.
[F109(3ZA)Where a person is subject to a disqualification undertaking accepted at any time under section 8ZC, any application for leave for the purposes of section 1A(1)(a) must be made to any court to which, if the Secretary of State had applied for a disqualification order under section 8ZA at that time, that application could have been made.
(3ZB)Where a person is subject to a disqualification undertaking accepted at any time under section 8ZE, any application for leave for the purposes of section 1A(1)(a) must be made to the High Court or, in Scotland, the Court of Session.]
[F110(3A)Where a person is subject to a disqualification undertaking accepted at any time under section 9B any application for leave for the purposes of section 9B(4) must be made to the High Court or (in Scotland) the Court of Session.]
(4)But where a person is subject to two or more disqualification orders or undertakings (or to one or more disqualification orders and to one or more disqualification undertakings), any application for leave for the purposes of section 1(1)(a) [F1111A(1)(a) or 9B(4)] shall be made to any court to which any such application relating to the latest order to be made, or undertaking to be accepted, could be made.
(5)On the hearing of an application for leave for the purposes of section 1(1)(a) or 1A(1)(a), the Secretary of State shall appear and call the attention of the court to any matters which seem to him to be relevant, and may himself give evidence or call witnesses.
[F112(6)Subsection (5) does not apply to an application for leave for the purposes of section 1(1)(a) if the application for the disqualification order was made under section 9A.
(7)In such a case and in the case of an application for leave for the purposes of section 9B(4) on the hearing of the application whichever of the [F113Competition and Markets Authority] or a specified regulator (within the meaning of section 9E) applied for the order or accepted the undertaking (as the case may be)—
(b)may give evidence or call witnesses.]]
F107S. 17 substituted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 12(1); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3
F108Word in s. 17(3) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 13(2); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F109S. 17(3ZA)(3ZB) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 13(3); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F110S. 17(3A) inserted (20.6.2003) by 2002 c. 40, ss. 204(8), 279; S.I. 2003/1397, art. 2, Sch.
F111Words in s. 17(4) substituted (20.6.2003) by 2002 c. 40, ss. 204(9), 279; S.I. 2003/1397, art. 2, Sch.
F112S. 17(6)(7) inserted (20.6.2003) by 2002 c. 40, ss. 204(10), 279; S.I. 2003/1397, art. 2, Sch.
F113Words in s. 17(7) substituted (1.4.2014) by The Enterprise and Regulatory Reform Act 2013 (Competition) (Consequential, Transitional and Saving Provisions) Order 2014 (S.I. 2014/892), art. 1(1), Sch. 1 para. 53(f) (with art. 3)
C36S. 17 applied (with modifications) by S.I. 1994/2421, art. 16, Sch. 8 (as amended (E.W.) (8.12.2017) by The Insolvency (Miscellaneous Amendments) Regulations 2017 (S.I. 2017/1119), reg. 1(1), Sch. 2 paras. 4, 8)
18[F114 Register of disqualification orders and undertakings.]E+W+S
(1)The Secretary of State may make regulations requiring officers of courts to furnish him with such particulars as the regulations may specify of cases in which—
(b)any action is taken by a court in consequence of which such an order [F115or a disqualification undertaking] is varied or ceases to be in force, or
(c)leave is granted by a court for a person subject to such an order to do any thing which otherwise the order prohibits him from doing; [F116or
(d)leave is granted by a court for a person subject to such an undertaking to do anything which otherwise the undertaking prohibits him from doing]
and the regulations may specify the time within which, and the form and manner in which, such particulars are to be furnished.
(2)The Secretary of State shall, from the particulars so furnished, continue to maintain the register of orders, and of cases in which leave has been granted as mentioned in subsection (1)(c) F117....
[F118(2A)The Secretary of State must include in the register such particulars as he considers appropriate of—
(a)disqualification undertakings accepted by him under section [F1195A, 7, 8, 8ZC or 8ZE];
(b)disqualification undertakings accepted by the [F120Competition and Markets Authority] or a specified regulator under section 9B;
(c)cases in which leave has been granted as mentioned in subsection (1)(d).]
(3)When an order [F121or undertaking] of which entry is made in the register ceases to be in force, the Secretary of State shall delete the entry from the register and all particulars relating to it which have been furnished to him under this section or any previous corresponding provision [F121and, in the case of a disqualification undertaking, any other particulars he has included in the register].
(4)The register shall be open to inspection on payment of such fee as may be specified by the Secretary of State in regulations.
[F122(4A)Regulations under this section may extend the preceding provisions of this section, to such extent and with such modifications as may be specified in the regulations, to disqualification orders F123...[F124or disqualification undertakings made under the Company Directors Disqualification (Northern Ireland) Order 2002].]
F114S. 18 sidenote substituted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 13(6); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F115Words in s. 18(1)(b) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 13(2)(a); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F116S. 18(1)(d) and word inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 13(2)(b); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F117Words in s. 18(2) omitted (1.10.2009) by virtue of The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(10)(a) (with art. 10)
F118S. 18(2A) substituted (20.6.2003) by 2002 c. 40, ss. 204(11), 279; S.I. 2003/1397, art. 2, Sch.
F119Words in s. 18(2A)(a) substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 14; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F120Words in s. 18(2A)(b) substituted (1.4.2014) by The Enterprise and Regulatory Reform Act 2013 (Competition) (Consequential, Transitional and Saving Provisions) Order 2014 (S.I. 2014/892), art. 1(1), Sch. 1 para. 53(g) (with art. 3)
F121Words in s. 18(3) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 13(4)(a)(b); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F122S. 18(4A) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 13(5); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F123Words in s. 18(4A) omitted (1.10.2009) by virtue of The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(10)(b) (with art. 10)
F124Words in s. 18(4A) inserted (1.9.2004) by The Insolvency Act 2000 (Company Directors Disqualification Undertakings) Order 2004 (S.I. 2004/1941), art. 2(6) (with art. 1(2))
C37S. 18(2) extended (6.4.2001) by S.I. 2001/967, regs. 5, 9(1)
C38S. 18(2) extended (1.10.2009) by The Companies (Disqualification Orders) Regulations 2009 (S.I. 2009/2471), reg. 9(1)
C39S. 18(2A) extended (1.10.2009) by The Companies (Disqualification Orders) Regulations 2009 (S.I. 2009/2471), reg. 9(2)
C40S. 18(3) extended (1.10.2009) by The Companies (Disqualification Orders) Regulations 2009 (S.I. 2009/2471), reg. 9(3)
19 Special savings from repealed enactments.E+W+S
Schedule 2 to this Act has effect—
(a)in connection with certain transitional cases arising under sections 93 and 94 of the M5Companies Act 1981, so as to limit the power to make a disqualification order, or to restrict the duration of an order, by reference to events occurring or things done before those sections came into force,
(b)to preserve orders made under section 28 of the Companies Act 1976 (repealed by the Act of 1981), and
(c)to preclude any applications for a disqualification order under section 6 or 8, where the relevant company went into liquidation before 28th April 1986.
C41Ss. 19(c), 20 extended (with modifications) by S.I. 1986/2142, art. 6
C42S. 19(c) applied (1.12.1994) S.I. 1994/2421, art. 16, Sch. 8
C43S. 19(c) applied (with modifications) by S.I. 1994/2421, art. 16, Sch. 8 (as amended (E.W.) (8.12.2017) by The Insolvency (Miscellaneous Amendments) Regulations 2017 (S.I. 2017/1119), reg. 1(1), Sch. 2 paras. 4, 8)
M51981 c. 62.
20 Admissibility in evidence of statements. E+W+S
[F125(1)] In any proceedings (whether or not under this Act), any statement made in pursuance of a requirement imposed by or under sections [F1265A, 6 to 10, 12C, 15 to 15C] or 19(c) of, or Schedule 1 to, this Act, or by or under rules made for the purposes of this Act under the Insolvency Act [F1271986], may be used in evidence against any person making or concurring in making the statement.
[F128(2)However, in criminal proceedings in which any such person is charged with an offence to which this subsection applies—
(i)created by rules made for the purposes of this Act under the Insolvency Act [F1291986], and
(c)an offence under section 5 of the M6Perjury Act 1911 (false statements made otherwise than on oath); or
(d)an offence under section 44(2) of the M7Criminal Law (Consolidation) (Scotland) Act 1995 (false statements made otherwise than on oath).
(4)Regulations under subsection (3)(a)(ii) shall be made by statutory instrument and, after being made, shall be laid before each House of Parliament.]
F125S. 20 renumbered as s. 20(1) (E.W.) (14.4.2000) and (S.) (1.1.2001) by 1999 c. 23, ss. 59, Sch. 3 para. 8(2) (with s. 63(2), Sch. 7 paras. 3(3), 5(2)); S.I. 2000/1034, art. 2(a) and S.S.I. 2000/445, art. 2
F126Words in s. 20(1) substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 15; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F127Words in s. 20(1) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(6)(a) (with art. 10)
F128S. 20(2)-(4) inserted (E.W.) (14.4.2000) and (S.) (1.1.2001) by 1999 c. 23, ss. 59, Sch. 3 para. 8(1)(3) (with s. 63(2), Sch. 7 paras. 3(3), 5(2)); S.I. 2000/1034, art. 2(a) and S.S.I. 2000/445, art. 2
F129Words in s. 20(3)(a)(i) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009) (S.I. 2009/1941), art. 2(1), {Sch. 1 para. 85(6)(a)} (with art. 10)
C44Ss. 19(c), 20 extended (with modifications) by S.I. 1986/2142, art. 6
C45S. 20 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
C46S. 20 applied (1.12.1994) by S.I. 1994/2421, art. 16, Sch. 8
C47S. 20 applied (with modifications) by S.I. 1994/2421, art. 16, Sch. 8 (as amended (E.W.) (8.12.2017) by The Insolvency (Miscellaneous Amendments) Regulations 2017 (S.I. 2017/1119), reg. 1(1), Sch. 2 paras. 4, 8)
[F13020ALegal professional privilegeE+W+S
In proceedings against a person for an offence under this Act nothing in this Act is to be taken to require any person to disclose any information that he is entitled to refuse to disclose on grounds of legal professional privilege (in Scotland, confidentiality of communications).]
F130S. 20A inserted (6.4.2008) by The Companies Act 2006 (Consequential Amendments etc) Order 2008 (S.I. 2008/948), arts. 2(2), 3(1)(a), Sch. 1 para. 106(3) (with arts. 6, 11, 12)
21 Interaction with Insolvency Act [F1311986] .E+W+S
(1)References in this Act to the official receiver, in relation to the winding up of a company or the bankruptcy of an individual, are to any person who, by virtue of section 399 of the Insolvency Act [F1321986] , is authorised to act as the official receiver in relation to that winding up or bankruptcy; and, in accordance with section 401(2) of that Act, references in this Act to an official receiver includes a person appointed as his deputy.
(2)Sections [F1331A] [F1345A, 6 to 10, 12C to 15C], 19(c) and 20 of, and Schedule 1 to, this Act [F133and sections 1 and 17 of this Act as they apply for the purposes of those provisions] are deemed included in Parts I to VII of the Insolvency Act [F1321986] for the purposes of the following sections of that Act—
section 422 (modification of such provisions in their application to recognised banks); . . . F135
(3)Section 434 of that Act (Crown application) applies to sections [F1361A] [F1345A, 6 to 10, 12C to 15C], 19(c) and 20 of, and Schedule 1 to, this Act [F136and sections 1 and 17 of this Act as they apply for the purposes of those provisions] as it does to the provisions of that Act which are there mentioned.
[F137(4)For the purposes of summary proceedings in Scotland, section 431 of that Act applies to summary proceedings for an offence under section 11 or 13 of this Act as it applies to summary proceedings for an offence under Parts I to VII of the Act.]
F131Words in s. 21 heading inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009) (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(6)(a) (with art. 10)
F132Words in s. 21(1)(2) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(6)(a) (with art. 10)
F133Words in s. 21(2) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 14(2)(a)(b)(c); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F134Words in s. 21(2)(3) substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 16; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F135Word repealed by Companies Act 1989 (c. 40, SIF 27), ss. 212, 213(2), Sch. 24
F136Words in s. 21(3) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 14(3)(a)(b)(c); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F137S. 21(4) added by Companies Act 1989 (c. 40, SIF 27), ss. 208, 213(2)
[F13821ABank insolvencyE+W+S
Section 121 of the Banking Act 2009 provides for this Act to apply in relation to bank insolvency as it applies in relation to liquidation.]
F138S. 21A inserted (21.2.2009) by Banking Act 2009 (c. 1), ss. 121(4), 263(1) (with s. 247); S.I. 2009/296, art. 3, Sch. para. 2
[F13921BBank administrationE+W+S
Section 155 of the Banking Act 2009 provides for this Act to apply in relation to bank administration as it applies in relation to liquidation.]
F139S. 21B inserted (21.2.2009) by Banking Act 2009 (c. 1), ss. 155(4), 263(1) (with s. 247); S.I. 2009/296, art. 3, Sch. para. 3
[F14021CBuilding society insolvency and special administrationE+W+S
Section 90E of the Building Societies Act 1986 provides for this Act to apply in relation to building society insolvency and building society special administration as it applies in relation to liquidation.]
F140S. 21C inserted (29.3.2009) by The Building Societies (Insolvency and Special Administration) Order 2009 (S.I. 2009/805), art. 12
22 Interpretation. E+W+S
(1)This section has effect with respect to the meaning of expressions used in this Act, and applies unless the context otherwise requires.
[F141(2)“Company” means—
(a)a company registered under the Companies Act 2006 in Great Britain, or
(b)a company that may be wound up under Part 5 of the Insolvency Act 1986 (unregistered companies).]
[F142(2A)An “overseas company” is a company incorporated or formed outside Great Britain.]
(3)Section 247 in Part VII of the Insolvency Act [F1431986](interpretation for the first Group of Parts of that Act) applies as regards references to a company’s insolvency and to its going into liquidation; and “administrative receiver” has the meaning given by section 251 of that Act [F144and references to acting as an insolvency practitioner are to be read in accordance with section 388 of that Act].
(4)“Director” includes any person occupying the position of director, by whatever name called F145. . ..
(5)“Shadow director”, in relation to a company, means a person in accordance with whose directions or instructions the directors of the company are accustomed to act [F146, but so that a person is not deemed a shadow director by reason only that the directors act—
(c)in accordance with guidance or advice given by that person in that person's capacity as a Minister of the Crown (within the meaning of the Ministers of the Crown Act 1975).]
[F147(6)“Body corporate” and “officer” have the same meaning as in the Companies Acts (see section 1173(1) of the Companies Act 2006).]
[F148(7)“The Companies Acts” has the meaning given by section 2(1) of the Companies Act 2006.]
[F149(8)Any reference to provisions, or a particular provision, of the Companies Acts or the Insolvency Act 1986 includes the corresponding provisions or provision of corresponding earlier legislation.]
[F150(9)Subject to the provisions of this section, expressions that are defined for the purposes of the Companies Acts [F151(see section 1174 of, and Schedule 8 to, the Companies Act 2006)] have the same meaning in this Act.]
[F152(10)Any reference to acting as receiver—
and “receivership” is to be read accordingly.]
F141S. 22(2) substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009) (S.I. 2009/1941), art. 2(1), {Sch. 1 para. 85(11)(a)} (with art. 10)
F142S. 22(2A) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 17; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F143Words in s. 22(3) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009) (S.I. 2009/1941), art. 2(1), {Sch. 1 para. 85(6)(a)} (with art. 10)
F144Words in s. 22(3) inserted (2.4.2001) by 2000 c. 39, s. 8, Sch. 4 Pt. I para. 15(2); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
F145Words in s. 22(4) repealed (2.4.2001) by 2000 c. 39, s. 8, 15(1), Sch. 4 Pt. I para. 15(3), Sch. 5; S.I. 2001/766, art. 2(1)(a)(c)(ii) (subject to transitional provisions in art. 3)
F146Words in s. 22(5) substituted (26.5.2015) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 90(2), 164(3)(g)(iii)
F147S. 22(6) substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(11)(b) (with art. 10)
F148S. 22(7) substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(11)(c) (with art. 10)
F149S. 22(8) substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(11)(d) (with art. 10)
F150S. 22(9) substituted (6.4.2008) by The Companies Act 2006 (Consequential Amendments etc) Order 2008 (S.I. 2008/948), art. 3(1), Sch. 1 para. 106(4)(c) (with arts. 6, 11, 12)
F151Words in s. 22(9) inserted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009 (S.I. 2009/1941), art. 2(1), Sch. 1 para. 85(11)(e) (with art. 10)
F152S. 22(10) inserted (2.4.2001) by 2000 c. 39, s. 5(3); S.I. 2001/766, art. 2(1)(a) (subject to transitional provisions in art. 3)
C48S. 22 extended (with modifications) (1.7.1989) by S.I. 1989/638, regs. 20, 21
[F15322A Application of Act to building societies.E+W+S
F154(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
F153S. 22A added by Companies Act 1989 (c. 40, SIF 27), s. 211(3)
F154S. 22A(4) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 18; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
[F15522BApplication of Act to incorporated friendly societies.E+W+S
(1)This Act applies to incorporated friendly societies as it applies to companies.
(2)References in this Act to a company, or to a director or an officer of a company include, respectively, references to an incorporated friendly society within the meaning of the Friendly Societies Act 1992 or to a member of the committee of management or officer, within the meaning of that Act, of an incorporated friendly society.
(3)In relation to an incorporated friendly society every reference to a shadow director shall be omitted.
[F156(3A)In relation to an incorporated friendly society, this Act applies as if sections 8ZA to 8ZE were omitted.]
F157(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
F155S. 22B added (1.2.1993) by Friendly Societies Act 1992 (c. 40), ss. 120, Sch. 21 Pt. I para. 8 (with ss. 7(5), 93(4)); S.I. 1993/16, art. 2, Sch.3
F156S. 22B(3A) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 19(a); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F157S. 22B(4) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 19(b); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
[F15822CApplication of Act to NHS foundation trustsE+W+S
F159(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
F158S. 22C inserted (20.11.2003 for certain purposes and 1.4.2004 for E.W. otherwise) by Health and Social Care (Community Health and Standards) Act 2003 (c. 43), ss. 34, 199, Sch. 4 para. 68; S.I. 2004/759, art. 2
F159S. 22C(3) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 20; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F16022DApplication of Act to open-ended investment companiesE+W+S
F160S. 22D omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 21; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
[F16122E[F162Application of Act to registered societies]E+W+S
[F163(1)In this section “registered society” has the same meaning as in the Co-operative and Community Benefit Societies Act 2014 (“the 2014 Act”).]
In paragraph (b) “committee” and “officer” have the same meaning as in [F164the 2014 Act: see section 149 of that Act].
(a)in section 2(1) (disqualification on conviction of indictable offence), the reference to striking off includes cancellation of the registration of a society under [F165the 2014 Act];
F166(c). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(d)references to the registrar shall be read as references to the [F167Financial Conduct Authority];
(e)references to a shadow director shall be disregarded
[F168(f)sections 8ZA to 8ZE are to be disregarded.]
F169(5). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
[F170(6)The legislation relating to registered societies” means the Credit Unions Act 1979 and the Co-operative and Community Benefit Societies Act 2014.]]
F161S. 22E inserted (6.4.2014) by Co-operative and Community Benefit Societies and Credit Unions Act 2010 (c. 7), ss. 3, 8(2); S.I. 2014/183, art. 2
F162S. 22E heading substituted (1.8.2014) by Co-operative and Community Benefit Societies Act 2014 (c. 14), s. 154, Sch. 4 para. 38(6) (with Sch. 5)
F163S. 22E(1) substituted (1.8.2014) by Co-operative and Community Benefit Societies Act 2014 (c. 14), s. 154, Sch. 4 para. 38(2) (with Sch. 5)
F164Words in s. 22E(3) substituted (1.8.2014) by Co-operative and Community Benefit Societies Act 2014 (c. 14), s. 154, Sch. 4 para. 38(3) (with Sch. 5)
F165Words in s. 22E(4)(a) substituted (1.8.2014) by Co-operative and Community Benefit Societies Act 2014 (c. 14), s. 154, Sch. 4 para. 38(4)(a) (with Sch. 5)
F166S. 22E(4)(c) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 22(2)(a); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F167Words in s. 22E(4)(d) substituted (1.4.2013) by The Financial Services Act 2012 (Mutual Societies) Order 2013 (S.I. 2013/496), art. 1(1), Sch. 11 para. 3 (with Sch. 12)
F168S. 22E(4)(f) inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 22(2)(b); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F169S. 22E(5) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 22(3); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
F170S. 22E(6) substituted (1.8.2014) by Co-operative and Community Benefit Societies Act 2014 (c. 14), s. 154, Sch. 4 para. 38(5) (with Sch. 5)
[F17122F.Application of Act to charitable incorporated organisationsE+W
(1)This Act applies to charitable incorporated organisations (“CIOs”) as it applies to companies.
(a)references to a company are to be read as including references to a CIO;
(b)references to a director or an officer of a company are to be read as including references to a charity trustee of a CIO; and
(c)any reference to the Insolvency Act 1986 is to be read as including a reference to that Act as it applies to CIOs.
(3)As they apply in relation to CIOs, the provisions of this Act have effect with the following modifications—
(b)in section 4(1)(a), the reference to an offence under section 993 of the Companies Act 2006 is to be read as including a reference to an offence under regulation 60 of the Charitable Incorporated Organisations (General) Regulations 2012(fraudulent trading);
(c)sections 9A to 9E are to be disregarded;
(d)references to any of sections 9A to 9E are to be disregarded;
(e)references to a shadow director are to be disregarded.
F172(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5)In this section “charity trustees” has the meaning given by section 177 of the Charities Act 2011.]
F171S. 22F inserted (E.W.) (2.1.2013) by The Charitable Incorporated Organisations (Consequential Amendments) Order 2012 (S.I. 2012/3014), arts. 1, 2
F172S. 22F(4) omitted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 7 para. 23; S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(g)
[F17322GApplication of Act to further education bodiesE+W+S
established under section 33C of that Act.]
F173S. 22G inserted (31.1.2019) by Technical and Further Education Act 2017 (c. 19), ss. 39, 47(2); S.I. 2018/1161, reg. 3(a)
[F17422H.Application of Act to protected cell companiesE+W+S
(2)This Act applies to protected cell companies as it applies to companies.
(3)Accordingly, in this Act, references to a company are to be read as including references to a protected cell company.
(4)As they apply in relation to protected cell companies, the provisions of this Act have effect with the following modifications—
(h)references to section 452 and 456 of the Companies Act 2006 are to be read as references to those sections as applied by regulation 163 of the Risk Transformation Regulations 2017;
(5)Where two or more parts of a protected cell company are or have been insolvent, then sections 6 to 7A and 8ZA to 8ZC apply in relation to each part separately.
(6)A contribution to the assets of a protected cell company given in accordance with a compensation order under section 15A(1) or a compensation undertaking under section 15A(2) is to be held by the protected cell company on behalf of the part of the protected cell company specified in the order or undertaking.]
F174S. 22H inserted (8.12.2017) by The Risk Transformation Regulations 2017 (S.I. 2017/1212), reg. 1(2), Sch. 4 para. 3 (with reg. 189)
23 Transitional provisions, savings, repeals.E+W+S
(1)The transitional provisions and savings in Schedule 3 to this Act have effect, and are without prejudice to anything in the M8Interpretation Act 1978 with regard to the effect of repeals.
(2)The enactments specified in the second column of Schedule 4 to this Act are repealed to the extent specified in the third column of that Schedule.
24 Extent.E+W+S
[F175(2)Subsections (1) to (2A) of section 11 also extend to Northern Ireland.]
F175S. 24(2) substituted (1.10.2015) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 113(2), 164(1); S.I. 2015/1689, reg. 2(i)
26 Citation.E+W+S
This Act may be cited as the Company Directors Disqualification Act 1986.
[F176SCHEDULE 1E+W+SDetermining unfitness etc: matters to be taken into account
F176Sch. 1 substituted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 106(6), 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(d) (with Sch. para. 3)
C49Sch. 1 applied (with modifications) by S.I. 1994/2421, art. 16, Sch. 8 (as amended (E.W.) (8.12.2017) by The Insolvency (Miscellaneous Amendments) Regulations 2017 (S.I. 2017/1119), reg. 1(1), Sch. 2 paras. 4, 8)
Matters to be taken into account in all casesE+W+S
Additional matters to be taken into account where person is or has been a directorE+W+S
9In this Schedule “director” includes a shadow director.]
SCHEDULE 2E+W+S Savings from Companies Act 1981 ss. 93, 94, and Insolvency Act 1985 Schedule 9
1Sections 2 and 4(1)(b) do not apply in relation to anything done before 15th June 1982 by a person in his capacity as liquidator of a company or as receiver or manager of a company’s property.
2Subject to paragraph 1—
(a)section 2 applies in a case where a person is convicted on indictment of an offence which he committed (and, in the case of a continuing offence, has ceased to commit) before 15th June 1982; but in such a case a disqualification order under that section shall not be made for a period in excess of 5 years;
(b)that section does not apply in a case where a person is convicted summarily—
(i)in England and Wales, if he had consented so to be tried before that date, or
(ii)in Scotland, if the summary proceedings commenced before that date.
3Subject to paragraph 1, section 4 applies in relation to an offence committed or other thing done before 15th June 1982; but a disqualification order made on the grounds of such an offence or other thing done shall not be made for a period in excess of 5 years.
4The powers of a court under section 5 are not exercisable in a case where a person is convicted of an offence which he committed (and, in the case of a continuing offence, had ceased to commit) before 15th June 1982.
5For purposes of section 3(1) and section 5, no account is to be taken of any offence which was committed, or any default order which was made, before 1st June 1977.
6An order made under section 28 of the M9Companies Act 1976 has effect as if made under section 3 of this Act; and an application made before 15th June 1982 for such an order is to be treated as an application for an order under the section last mentioned.
M91976 c. 69.
(a)an application is made for a disqualification order under section 6 of this Act by virtue of paragraph (a) of subsection (2) of that section, and
(b)the company in question went into liquidation before 28th April 1986 (the coming into force of the provision replaced by section 6),
the court shall not make an order under that section unless it could have made a disqualification order under section 300 of [F177the Companies Act 1985] as it had effect immediately before the date specified in sub-paragraph (b) above.
F177Words in Sch. 2 para. 7 substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009) (S.I. 2009/1941), art. 2(1), {Sch. 1 para. 85(15)} (with art. 10)
8An application shall not be made under section 8 of this Act in relation to a report made or information or documents obtained before 28th April 1986.
SCHEDULE 3E+W+S Transitional Provisions and Savings
1In this Schedule, “the former enactments” means so much of [F178the Companies Act 1985], and so much of [F179the Insolvency Act 1986], as is repealed and replaced by this Act; and “the appointed day” means the day on which this Act comes into force.
F178Words in Sch. 3 para. 1 substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009) (S.I. 2009/1941), art. 2(1), {Sch. 1 para. 85(16)(a)} (with art. 10)
F179Words in Sch. 3 para. 1 substituted (1.10.2009) by The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009) (S.I. 2009/1941), art. 2(1), {Sch. 1 para. 85(16)(b)} (with art. 10)
2So far as anything done or treated as done under or for the purposes of any provision of the former enactments could have been done under or for the purposes of the corresponding provision of this Act, it is not invalidated by the repeal of that provision but has effect as if done under or for the purposes of the corresponding provision; and any order, regulation, rule or other instrument made or having effect under any provision of the former enactments shall, insofar as its effect is preserved by this paragraph, be treated for all purposes as made and having effect under the corresponding provision.
3Where any period of time specified in a provision of the former enactments is current immediately before the appointed day, this Act has effect as if the corresponding provision had been in force when the period began to run; and (without prejudice to the foregoing) any period of time so specified and current is deemed for the purposes of this Act—
(a)to run from the date or event from which it was running immediately before the appointed day, and
(b)to expire (subject to any provision of this Act for its extension) whenever it would have expired if this Act had not been passed;
and any rights, priorities, liabilities, reliefs, obligations, requirements, powers, duties or exemptions dependent on the beginning, duration or end of such a period as above mentioned shall be under this Act as they were or would have been under the former enactments.
4Where in any provision of this Act there is a reference to another such provision, and the first-mentioned provision operates, or is capable of operating, in relation to things done or omitted, or events occurring or not occurring, in the past (including in particular past acts of compliance with any enactment, failures of compliance, contraventions, offences and convictions of offences) the reference to the other provision is to be read as including a reference to the corresponding provision of the former enactments.
5Offences committed before the appointed day under any provision of the former enactments may, notwithstanding any repeal by this Act, be prosecuted and punished after that day as if this Act had not passed.
6A reference in any enactment, instrument or document (whether express or implied, and in whatever phraseology) to a provision of the former enactments (including the corresponding provision of any yet earlier enactment) is to be read, where necessary to retain for the enactment, instrument or document the same force and effect as it would have had but for the passing of this Act, as, or as including, a reference to the corresponding provision by which it is replaced in this Act.
1985 c. 6. The Companies Act 1985. Sections 295 to 299.
In Schedule 24, the entries relating to sections 295(7) and 302(1).
1985 c. 65. The Insolvency Act 1985. Sections 12 to 14.
In Schedule 6, paragraphs 1, 2, 7 and 14.