On the second day of his disqualification trial , Yingji Li, the director of Mandarin Kitchen Limited, gave an undertaking to the Secretary of State for Business, Energy & Industrial Strategy, which prevents him from becoming directly or indirectly involved in the promotion, formation or management of a company for seven years from 30 June 2017.
Mandarin went into liquidation on 22 April 2014 owing £394,267 to creditors.
The Insolvency Service’s investigation concluded that Mr Li caused Mandarin to employ two illegal workers. He also caused the company to fail to submit returns or payments to HMRC in respect of VAT, PAYE and NIC, with at least £191,748 being owed to HMRC at the date of liquidation.
Commenting on the disqualification, Robert Clarke, Chief Investigator at the Insolvency Service, said:
The Insolvency Service will work with other government agencies to take robust action against company directors who fail to comply with the law. In this case, Mr Li disregarded both immigration and taxation legislation and has therefore been disqualified for a significant period. He will also have to meet the legal costs of the proceedings against him.
Notes to editors
Mandarin Kitchen Limited (CRO No.08421507) was incorporated on 27 February 2013. Mandarin operated eight restaurants in London, its registered office being at 88 Kingsway, London WC2B 6AA.
Mr Li (date of birth 10 November 1988) was the sole formally appointed director between 27 February 2013 and liquidation. Mandarin went into Liquidation on 22 April 2014.
On 9 June 2017 the Secretary of State accepted a Disqualification Undertaking from Mr Li effective from 30 June 2017, for seven years.
A disqualification order has the effect that without specific permission of a court, a person with a disqualification cannot:
- act as a director of a company
- take part, directly or indirectly, in the promotion, formation or management of a company or limited liability partnership
- be a receiver of a company’s property
Disqualification undertakings are the administrative equivalent of a disqualification order but do not involve court proceedings. Persons subject to a disqualification order are bound by a range of other restrictions.
The Insolvency Service, an executive agency sponsored by the Department for Business, Energy and Industrial Strategy (BEIS), administers the insolvency regime, and aims to deliver and promote a range of investigation and enforcement activities both civil and criminal in nature, to support fair and open markets. We do this by effectively enforcing the statutory company and insolvency regimes, maintaining public confidence in those regimes and reducing the harm caused to victims of fraudulent activity and to the business community, including dealing with the disqualification of directors in corporate failures. Further information about the work of the Insolvency Service, and how to complain about financial misconduct, is available (https://www.gov.uk/government/organisations/insolvency-service).
BEIS’ mission is to build a dynamic and competitive UK economy that works for all, in particular by creating the conditions for business success and promoting an open global economy. The Criminal Investigations and Prosecutions team contributes to this aim by taking action to deter fraud and to regulate the market. They investigate and prosecute a range of offences, primarily relating to personal or company insolvencies.
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