Regulation  

Directors disqualified over golf course investments

Directors disqualified over golf course investments

Two men cannot act as directors for a combined 19 years for their roles in a company which claimed to offer investments in a golf course and hotel development in Portugal.

Christopher Smullen, 44, and Sean Keating, 54, were directors of Lancashire-based Worldwide Sports Investments Limited until a successful investigation by the Insolvency Service.

According to a statement from the Insolvency Service, WSI’s marketing literature said investors could expect fixed returns of 200 per cent but there was no evidence investors received any benefit from their investment or that any investment was made on their behalf by WSI.

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The statement said there was no evidence to suggest WSI had any agreement in place with the hotel and golf course to which its marketing literature referred.

Analysis of the company bank account indicates 11 people made payments to WSI totalling £275,000 and paid administration fees totalling £2,145.

Mr Smullen has been banned for 13 years while Mr Keating has given an undertaking not to act as a director for six years.

In his statement, Official Receiver Ken Beasley said: “Mr Smullen caused significant loss to people by causing Worldwide Sports Limited to induce them to invest in a scheme which was not legitimate. In doing so, his conduct fell far below that expected of directors of a limited company.”

“In failing to pay proper regard to the company’s affairs, Mr Keating, as a formally appointed director and the sole signatory to the bank account, failed to discharge his responsibilities to the company and its creditors.”