Second Carillion director hit with long-term ban

A second former Carillion director has been banned from being a director for more than 12 years after it was found that he provided false and misleading information.

The Insolvency Service said that Richard Adam, who served as the group finance director of Carillion between 2007 and 2016, caused Carillion to “rely on false and misleading financial information” for the preparation of its accounts for 2015 and 2016 – as well as over the reporting of major construction contracts.

The contracts were for Royal Liverpool University Hospital, Battersea Power Station, Aberdeen Western Peripheral Route, Midlands Metropolitan Hospital and Msheireb Phase 1B in Qatar.

The move follows the recent disqualification of Zafar Khan, Adam’s successor at Carillion, for 11 years.

Adam has now been found to have submitted a misstatement for 2015 of £95.4m, and for 2016 of £179.2m, according to the Insolvency Service.

An Insolvency Service spokesperson said: “The Insolvency Service, acting on behalf of the Secretary of State for Business and Trade, has accepted a disqualification undertaking from Richard Adam for 12 and a half years for his conduct as a director of Carillion Plc.

“As the litigation against the remaining directors is ongoing, with a trial set to commence the week of 16 October 2023, we are unable to comment any further.”

Carillion went under owing close to £7bn.