- Disqualifying an alleged de facto director (Secretary of State for Business, Energy and Industrial Strategy v Rahman)
- What are the practical implications of this case?
- What was the background?
- What did the court decide?
- Case details
Restructuring & Insolvency analysis: The Secretary of State applied for an order under section 8 of the Company Directors Disqualification Act 1986 to disqualify Mr Rahman as a director. The allegation was that Mr Rahman was a de facto director (a person who assumes the duties of a director) of a company that had employed illegal migrant workers in its restaurant business. The court held that Mr Rahman was not involved in running the business and the claim was dismissed. The judgment includes a helpful summary of the case law for the test to be applied as to what amounts to being a de facto director and the evidence required to meet that test. Written by John Dickinson, barrister, at St John’s Chambers, Bristol, who represented Mr Rahman at the trial.
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