CIMA Exam CIMAPRA17-BA4-1 Topic 2 Question 112 Discussion

Actual exam question for CIMA's CIMAPRA17-BA4-1 exam

Question #: 112
Topic #: 2

Paul has been held personally liable to contribute to the assets of P Ltd as a result of his "fraudulent trading" under Section 213 of the Insolvency Act 1986. The court is about to disqualify Paul from acting as a director. What is the maximum period for which he may be disqualified?

ANo maximum.

B5 years.

C10 years.

D15 years.

Show Suggested Answer

Suggested Answer: D

by Aliza at Jun 15, 2025, 05:07 AM

Limited Time Offer

25%

Off

Get Premium CIMAPRA17-BA4-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Lettie

15 days ago

I heard Paul was cooking the books to fund his secret llama farm. No wonder they're throwing the book at him! Option C, 10 years, seems fair enough.

upvoted 0 times

Gearldine

4 days ago

Option C, 10 years, does seem like a fair punishment.

upvoted 0 times

...

Virgina

5 days ago

Yeah, he's in big trouble for sure.

upvoted 0 times

...

Craig

11 days ago

I think Paul really messed up this time.

upvoted 0 times

...

Leontine

18 days ago

I'm not sure, but I think the answer might be D) 15 years. The court can impose a longer disqualification period for severe cases.

upvoted 0 times

...

Naomi

20 days ago

I agree with Glen, because fraudulent trading is a serious offense that warrants a longer disqualification period.

upvoted 0 times

...

Nobuko

22 days ago

Fraudulent trading, huh? Sounds like someone's been cooking the books. I'm going to have to go with option A - no maximum disqualification. Gotta hit 'em where it hurts!

upvoted 0 times

...