Former Carillion directors face disqualification proceedings
Eight current and former directors of collapsed construction giant Carillion face being banned from future corporate directorships after the Government launched disqualification proceedings against them.
The Wolverhampton-based construction giant went into liquidation in January 2018 after running up debts of about £1.5bn.
It employed around 18,000 people when it failed, with ultimately nearly 3,000 people being made redundant.
After the company was wound up, the Official Receiver submitted a report about the conduct of each director.
Now, Business secretary Kwasi Kwarteng has decided it would be in the public interest for a court to make an order disqualifying the directors on the grounds their conduct made them unfit to be concerned in the management of a company.
An Insolvency Service spokesperson said: “We can confirm that on 12 January 2021 the Insolvency Service, acting on behalf of Secretary of State, applied for director disqualification orders against eight directors and former directors of Carillion.
“The application was made in the public interest.”
Carillion’s collapse has had a significant impact on major schemes in the region, especially the development of Midland Metropolitan Hospital which has been delayed and hit by huge additional costs.