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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?
Suggested Answer: D
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30 comments · newest first
SK
Skye
10 months ago
Seems harsh, but I guess it's necessary for fraud.
RO
Royal
10 months ago
I thought it was only 10 years!
AR
Arthur
11 months ago
Definitely 15 years, no doubt about it.
FE
Fernanda
11 months ago
Wait, can they really disqualify him for that long?
LO
Louvenia
11 months ago
Maximum disqualification is 15 years.
WI
Willard
11 months ago
I believe it's 15 years for fraudulent trading, but I might be mixing it up with another type of disqualification.
HO
Hoa
12 months ago
I vaguely recall that there might not be a maximum for certain serious offenses, but I can't remember if that applies here.
RE
Reyes
12 months ago
I practiced a similar question where the disqualification was 5 years, but I feel like fraudulent trading might lead to a longer period.
EZ
Ezekiel
12 months ago
I think the maximum disqualification period is 10 years, but I'm not entirely sure. I remember something about it being related to serious misconduct.
MI
Minna
1 year ago
I'm pretty confident I know the answer to this. The maximum disqualification period for fraudulent trading is 15 years, so I'll go with option D.
EU
Eulah
1 year ago
Hmm, I'm a bit unsure about the specifics here. I'll need to carefully read through the question and the Act to determine the correct maximum disqualification period.
QU
Queenie
1 year ago
Okay, I think I've got this. The key is understanding the maximum disqualification period for fraudulent trading under Section 213. Let me review that section quickly.
JO
Jolene
1 year ago
This question seems straightforward, but I want to double-check the details in the Insolvency Act to make sure I have the right information.
LE
Lettie
1 year 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.
GE
Gearldine
1 year ago
Option C, 10 years, does seem like a fair punishment.
VI
Virgina
1 year ago
Yeah, he's in big trouble for sure.
CR
Craig
1 year ago
I think Paul really messed up this time.
LE
Leontine
1 year 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.
NA
Naomi
1 year ago
I agree with Glen, because fraudulent trading is a serious offense that warrants a longer disqualification period.
NO
Nobuko
1 year 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!
NA
Narcisa
1 year ago
10 years? That's a long time to be barred from directing a company. I think option C is the way to go here.
GL
Glendora
1 year ago
I think option C is the most likely choice for the maximum disqualification period.
MY
Myra
1 year ago
I agree, 10 years is quite a long time.
WI
Willard
1 year ago
No maximum? That's a bit concerning. I'll have to go with option D - 15 years, just to be on the safe side.
JU
Julio
1 year ago
Hmm, this one seems tricky. I'm going to go with option B - 5 years, seems like the most reasonable max disqualification period.
WE
Wendell
1 year ago
Let's go with option B, it seems like a reasonable choice.
TY
Ty
1 year ago
I believe it's option D, the maximum period for disqualification.
QU
Quentin
1 year ago
I'm not sure, but I think it could be option C.
RI
Rikki
1 year ago
I think option B is correct too.
GL
Glen
1 year ago
I think the answer is C) 10 years.