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Former owners of Lichfield restaurant banned from being company directors

The former owners of a Lichfield restaurant have been banned from being company directors.

Mizanur Rahman, 39, and Sadiqur Rahman, 40, were investigated after transferring the assets of the Panache restaurant in the city and a sister business in Stafford to their wives for less than the businesses were worth in 2011.

They were were disqualified from being companies for seven years following an investigation by The Insolvency Service.

Sue MacLeod, Chief Investigator for Insolvent Investigations Midlands and West, said: “The undertakings signed by Mizanur Rahman and Sadiqur Rahman send a clear message to other company directors – if you run a business in a way that is detrimental to either its customers or its creditors you will be in our sights.

“The Insolvency Service will investigate you and you could be removed from the business environment.”

The companies went into liquidation on October 4 2011 with no assets and liabilities of £528,006 (Lichfield) and £307,010 (Stafford).

The investigation found that the businesses and assets were transferred to new companies run by the directors’ wives on or around the time the companies ceased trading and instructions were given to place them into liquidation.

The liquidator was told that the asset sale price was £15,000 plus VAT for each company, but a probe found no evidence in the accounting records of either of the liquidated companies to show that the money was ever paid.

The pair also failed to provide documentation to show how they came up with the value placed on the businesses.

The two liquidated companies also failed to make PAYE/NIC and VAT returns and payments to HM Revenue & Customs.

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Founder of LichfieldLive and editor of the site.