Two former directors of a high-end vehicle import and export company were involved in fraudulent trading by moving money between different entities in diverse jurisdictions, a liquidator has claimed in Commercial Court proceedings.
Mr Kirby seeks declarations from the court that the couple were guilty of carrying on business with intent to defraud or that they were knowingly party to the carrying on of company business in a reckless manner. The business apparently involved the importation of vehicles from the UK which meant they availed of zero VAT rating for the purpose of the UK and using firms that had just been incorporated and subsequently struck off for failing to make returns.
Mr Kirby says a core contention by the Sherlocks is that they were replaced as directors in 2018 by a man based outside Birmingham in England. While the company was first incorporated in March 2012 with a principal activity of renting demolition/construction equipment and registered in the names of others, it was clear it did little or no trade prior to the Sherlocks taking over as directors in May 2015, the liquidator says.