FINES – Company Directors beware!

Companies and their directors may have to reconsider their approach to the following offences which, up until now, may have been treated as relatively minor because of the low fines involved (a maximum of £5,000):

• Section 167 - Duty to notify registrar of a person becoming or ceasing to be a director.
• Section 438 - Public companies: offence of failure to lay accounts and reports.
• Section 451 - Default in filing accounts and reports.
• Section 858 - Failure to deliver annual return.

However, legislation has been introduced which will give magistrates the power to impose a fine of an unlimited amount upon summary conviction.
Although the legislation received Royal Assent on 1 May 2012, these changes have not been commenced as yet but beware.