12. August 2010 13:41
ASIC has banned 13 directors from managing corporations, following their involvement in failed companies.
This brings the total number of disqualified directors to 70 individuals for the financial year ending 30 June 2010, for a total period of 225 years. This represents a significant increase in the number of disqualifications on the previous year and follows a sharp increase in insolvency activity during the global financial crisis.
Interestingly, over half the disqualifications were conducted by liquidators that had received funding through the Assetless Administration Fund.
For commentary regarding ASIC's power of disqualification, click here to go through to Ford's Principles of Corporations Law. Further information about the recent disqualifications is also available on the official ASIC site.