asked the Minister for Industry, Trade, Commerce and Tourism if he will consider amending legislation to prevent directors of companies which have been liquidated owing large amounts of money to creditors, employees, or the Revenue Commissioners from establishing new firms involved in similar areas of commercial activity until such time as all debts of the liquidated firm have been cleared off; and if he will make a statement on the matter.
Written Answers. - Company Legislation.
13.
I have indicated, both inside and outside the House, my intention to introduce a Bill to deal with abuse and malpractice in the management and direction of companies. While I cannot comment on the details of the Bill I can say that it will, among other things, address the question of directors who liquidate one company and then start up a new company leaving a trail of unpaid creditors behind.
While I am firmly of the view that this abuse needs to be tackled as a matter of urgency. I am equally conscious that some directors are more culpable than others in this respect and that there is a need to take a balanced approach in devising appropriate remedies. The Bill I will be introducing will reflect this balance.