HC Deb 23 June 1992 vol 210 cc145-50W
Mr. McNamara

To ask the President of The Board of Trade how many companies went into receivership under the Insolvency Act 1986, in each year since 1986 and in the current year to the most recent available date; how many

Table C2 Liquidations and receiverships notified, 1986–87 to 1990–91 Number of companies
1986–87 1987–88 1988–89 1989–90 1990–91 Apr-Jun 1990 Jul-Sep 1990 Oct-Dec 1990 Jan-Mar 1991 Apr-May 1991–92
Great Britain
Compulsory liquidations 5,163 3,911 3,789 4,511 7,043 1,342 1,047 2,512 2,142 9,210
Creditor's voluntary liquidations 9,412 7,064 6,011 6,981 10,610 2,118 2,365 2,697 3,430 14,124
Total insolvencies 14,575 10,975 9,800 11,492 17,653 3,460 3,412 5,209 5,572 0
Members' voluntary liquidations 5,115 2,834 4,063 4,215 4,172 1,088 835 1,053 1,196 0
Total liquidations 19,690 13,809 13,863 15,707 21,825 4,548 4,247 6,262 6,768 0
Receiverships notified 1,971 1,384 1,252 2,423 5,580 967 1,102 1,509 2,002 8759
Administrator appointments 3 156 187 160 237 67 57 49 64 0
Company voluntary arrangements 1 27 52 49 75 9 15 18 33 0
England and Wales
Compulsory liquidations 4,882 3,667 3,554 4,289 6,786 1,286 985 2,439 2,076 8,911
Creditor's voluntary liquidations 9,198 6,863 5,837 6,783 10,378 2,070 2,316 2,628 3,364 13,808
Total insolvencies 14,080 10,530 9,391 11,072 17,164 3,356 3,301 5,067 5,440 0
Members' voluntary liquidations 4,882 2,657 3,809 3,984 3,941 1,025 788 989 1,139 0
Total liquidations 18,962 13,187 13,200 15,056 21,105 4,381 4,089 6,056 6,579 0
Receiverships notified 1,769 1,202 1,133 2,266 5,327 925 1,045 1,430 1,927 8,503
Administrator appointments 0 144 179 162 222 65 56 41 60 0
Company voluntary arrangements 0 26 52 49 75 9 15 18 33 0
Scotland
Compulsory liquidations 281 244 235 222 257 56 62 73 66 299
Creditors' voluntary liquidations 214 201 174 198 232 48 49 69 66 316
Total insolvencies 495 445 409 420 489 104 111 142 132 0
Members' voluntary liquidations 233 177 254 231 231 63 47 64 57 0
Total liquidations 728 622 663 651 720 167 158 206 189 0
Receiverships notified 202 182 119 157 253 42 57 79 75 256
Administrator appointments 3 12 8 8 15 2 1 8 4 0
Company voluntary arrangements 1 1 0 0 0 0 0 0 0 0

directors of companies were prosecuted under the Act or similar statutory provisions over the same periods and (a) acquitted or (b) convicted; and what was the nature of the sentences passed on those convicted.

Mr. Neil Hamilton

The number of receiverships notified in each year beginning with 1986–87 and ending with January-March 1991 are published in "Companies in 1990–91" laid before Parliament in accordance with section 729 of the Companies Act 1985. A copy of table C2 from that publication follows, with available figures for April 1991 to March 1992 added.

Tables follow listing sections of the Insolvency Act 1986 creating offences in connection with companies, numbers of directors convicted and acquitted of each offence and the range of sentences passed. Similar tables show offences prosecuted under the Companies Acts 1948,1976 and 1985 and the Company Directors Disqualification Act 1986.

The tables relate to offences detected by official receivers dealing with companies in liquidation, and a small number detected by companies investigation branch, and prosecuted by investigations division of the Department of Trade and Industry. Separate tables are given for the calendar years 1988 to 1991. The figures include cases referred by investigations division to other agencies. They do not include cases investigated by police forces with no investigations division involvement. Bankruptcy offences prosecuted under the Insolvency Act 1986 have not been included whether or not the bankrupt had been a director of a company.

Insolvency Act 1986
Calendar year 1988
Section Convicted Acquitted Sentence range
S 216 1 — Fined £750
Companies Acts
Calendar year 1988
Year and Section Convicted Acquitted Sentence range
1948
S 161 1 — Fined £500
S 187 15 — Sentence ranged from six months in prison, fines up to £500 and 40 hours community service.
S 328 1 — Fined £500
S 330 1 — Nine months suspended two years.
S 331 1 — Nine months imprisonment.
S 332 14 2 Sentences ranged from four months imprisonment suspended to three years in prison.
1976
S 12 47 — Fines ranged from £50 to £1,500 and from a conditional discharge to six months imprisonment.
1985
S 34 2 — Fined £75
S 221–223 26 3 Sentence ranged from a con-ditional discharge with fines up to £1,600.
S 241 1 — Fined £500
S 287 1 — Fined £25
S 302 8 — Fines up to £500 and up to 3 months imprisonment.
S 458 4 2 Sentences ranged from fines up to £250 and 18 months in prison.
S 624 1 — Six months imprisonment.
Company directors Disqualification Act 1986
Calendar year 1988
Section Convicted Acquitted Sentence range
S 11/13 2 — Conditional discharge and fines up to £100.
Insolvency Act 1986
For 1989
Section Convicted Acquitted Sentence range
S207 1 — Six months imprisonment suspended two years.
S208 — 1 —
S216 6 1 Conditional discharge to fines up to £1,000.
Companies Acts
Calendar year 1989
Year and Section Convicted Acquitted Sentence range
1948
S 187 23 — Sentences ranged from a con-ditional discharge to 12 months imprisonment with fines up to £1,000.
Year and Section Convicted Acquitted Sentence range
S 332 7 1 Sentences ranged from fines up to £2,000 and suspended prison sentences up to 18 months.
1976
S 12 20 — Sentences ranged from a con-ditional discharge to 12 months imprisonment and fines between £50 to £1,000.
1985
S 34 1 — Fined £200.
S 221/223 60 5 Sentences ranged from a conditional discharge to three months imprisonment and fines between £100 to £500.
S 302 12 2 Sentences ranged from commun-ity service up to 180 hours, fines between £400 to £1,000 and nine months imprisonment.
S 351 3 — Fined £50 to £100.
S 389 1 — Fined £500.
S 458 11 — Sentences ranged between 9–30 months imprisonment.
S 626 2 — Fined £400.
Company Directors Disqualification Act 1986
Calendar year 1989
Section Convicted Acquitted Sentence range
S 11/13 2 — Fined between £75 and £750.
Insolvency Act 1986
Calendar year 1990
Section Convicted Acquitted Sentence range
S206 2 1 Nine months suspended prison sentence.
S216 4 1 Fines up to £1,000 and up to four years disqualification from acting as a director.
Companies Acts
Calendar year 1990
Section Convicted Acquitted Sentence range
1948
S 187 9 — Fines ranged from £500 to £1,500 and suspended sentences up to 12 months. Disqualification up to five years.
S 221 1 — Fined £500.
S 323 1 — Four months imprisonment, suspended.
S 332 4 — Sentences ranged from suspended sentences to three and a half years imprisonment.
1976
S 12 3 — Fines ranged between £500 to £1,500 and suspended prison sentences of three months.
S 13 1 — Fined £500.
1985
S 28 2 — Fined £250.
S 34 2 — Fined up to £400.
Section Convicted Acquitted Sentence range
S 221–223 65 4 Sentences ranged between a conditional discharge, 3–18 months suspended prison sentences and fines up to £2,000. Disqualification orders up to six years.
S 287 1 — Fined £200.
S 302 13 1 Sentences ranged between suspended prison sentences and six months imprisonment.
S 351 2 — Fines up to £1,000 and 160 hours community service, up to five years disqualification.
S 389 1 — Fined £100.
S 458 15 3 Sentence ranged between two to six months suspended and three years imprisonment, fines up to £10,000, and disqualifications up to seven years.
Company Directors Disqualification Act 1986
Calendar year 1990
Section Convicted Acquitted Sentence range
S 11/13 17 1 Sentences ranged between a conditional discharge and 12 months suspended prison sentence. Fines up to £1,500 and disqualification from acting as a director up to 10 years.
Insolvency Act 1986
Calendar year 1991
Section Convicted Acquitted Sentence range
S 206 1 — Conditional discharge.
S 207 1 — Six months imprisonment, suspended for two years.
S 216 6 1 Sentences ranged from absolute discharge, fines up to £750, imprisonment up to three months and disqualification as acting as a director for two years.
Companies Act
Calendar year 1991
Section Convicted Acquitted Sentence range
1976
S 12 2 2 Fines of £150 and disqualification from acting as a director of 10 years.
1985
S 28 1 — Fined £500.
S 34 1 — Fined £400.
S 64 1 2 Fined £150.
S 187 7 — Sentences range from 12 months imprisonment suspended for two years, fines up to £300 and disqualification of up to five years.
S 221–223 40 13 Sentences range from an absolute discharge, fines up to £1,000, 200 hours community service, suspended prison sentences of two years and disqualification of up to five years.
Section Convicted Acquitted Sentence range
S302 12 — Sentences range from a conditional discharge, fines up to £50, suspended prison sentences of nine months and disqualification up to 18 months.
S 389 1 — Fined £200.
S 458 8 3 Sentences ranged from suspended sentences to three and a half years imprisonment and disqualification up to seven years.
S 624 1 — Fined £1,000.
Company Directors Disqualification Act 1986
Calendar year 1991
Section Convicted Acquitted Sentence range
S 11/13 33 — Sentences ranged from 240 hours community service, fines up to £5,000, suspended prison sentences and up to six months imprisonment and disqualification from acting as a director for up to 10 years.
Insolvency Act 1986
To end May 1992
Section Convicted Acquitted Sentence range
S 206 3 — Sentences up to 12 months imprisonment suspended for two years and disqualification as acting as a director for three years.
S 208 1 — Conditional discharge.
S 213 2 — Sentences included imprisonment up to 21 months, and disqualification up to 10 years.
Companies Act 1985
To end May 1992
Section Convicted Acquitted Sentence range
S 34 1 — Fined £25.
S 221–223 25 — Sentence ranged from a conditional discharge, fines up to £1,500, community service orders of 150 hours, suspended prison sentences and disqualification up to 10 years.
S 302 2 — Conditional discharge and a suspended prison sentence of 2 months.
S 389 1 — Fined £1,000
S 458 2 4 Up to nine months imprisonment, suspended for two years and disqualification of five years.
Company Directors Disqualification Act 1986
To end May 1992
Section Convicted Acquitted Sentence range
S 13 14 — Sentences ranged from a conditional discharge, fines up to £1,200, 15 months suspended prison sentence and disqualification as acting as a director of up to five years.

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