Insolvency

HC Deb 30 July 1982 vol 28 cc787-8W

Mr. John Fraser

asked the Minister for Trade when he expects to be in a position to publish his proposals for legislation on the law of insolvency.

Dr. Vaughan

Further to my reply of 19 July 1982 to the supplementary question from my hon. Friend the Member for Harrow, Central (Mr. Grant)—[Vol. 28, c. 3.]—sections 93 and 94 of the Companies Act 1981 came into force on 15 June 1982. A magistrates' court can now disqualify a director of a company for up to five years under conditions set out in the Companies Acts. The maximum period for disqualification by a Crown court has been extended from five years and is now 15 years. These changes strengthen the powers of the courts to deal with dishonest directors.