An Indian-origin convenience store owner in the UK has been handed a six-year ban from holding any company directorship over inaccurate tax returns submitted to the authorities. Pratik Kumar Patel accepted a disqualification undertaking, a process which does not involve court proceedings, after the UK Insolvency Service took action against him for showing a “total disregard” for his responsibility as a company director.
“Much of the public service is funded by the correct amount of taxes being paid and their deceit has ultimately had impact on the public who rely on companies paying their correct taxes,” Lawrence Zussman, Deputy Head of Insolvent Investigations for the Insolvency Service, said on Thursday.
He said the considerable ban of six years will severely restrict Mr Patel’s ability to act in the corporate arena, and should serve as a warning to other directors “who think they can do as they please”.
R.K. Patel & Sons (UK) Limited was incorporated in May 2015 and took over the business of an existing convenience store located on South Square at Knowle in Hampshire, south-east England.
Between October 2015 and January 2019, the sole director of the company was Mr Patel, who the Insolvency Service found caused the company to suppress sales income and submit inaccurate returns to the tax authorities.
When R.K. Patel & Sons (UK) Limited entered into a “creditors voluntary liquidation” in August 2019, it was determined the company had tax liabilities totalling 345,000 pounds. His six-year disqualification, which is effective from October 7, means he is banned from acting as director or directly or indirectly becoming involved, without the permission of the court, in the promotion, formation or management of a company.