THREE directors of an insolvent New Ross, Co Wexford, company were held by the High Court yesterday not to have acted responsibly in the running of the company.
Mr Justice Shanley made an order under the 1990 Companies Act which restricts the three from acting as directors or secretary of an Irish company for five years.
The company, KP Fuels (New Ross) Ltd, was wound up by High Court order on November 6th, 1991, when the court appointed Mr Patrick O'Donovan, a Dublin accountant, to be liquidator.
The directors were Mr Leslie Peacock, of Riverview, New Ross Mr David S. Goldsack, Garretts Lane, Banstead, Surrey, England; and Mr Michel Lamy, Versailles, France.
Mr Eamonn Marray, counsel for the liquidator, said the weight of the information available to the court and inconsistencies in the affidavits of Mr Peacock and Mr Goldsack in particular, demonstrated that nothing was done to limit the losses of the company.
Mr Justice Shanley, giving judgment, said the petition to wind up was brought by a French company, Patin SA, which was, in substance, the sole supplier to the New Ross concern. The French company claimed it was owed £1,362,428.
The New Ross company's solicitor replied in November, 1994, that there was a substantial dispute about the sum claimed and that his client was counter claiming for £1.404 million.
Mr Justice Shanley said that on the papers before the court this appeared to be the first time the counter claim for that sum had been advanced.
Mr Justice Shanley said Mr Peacock had claimed the fuel did not meet the specifications required of smokeless fuel by Irish legislation, that it was grossly inferior in quality and unsaleable.
The judge said it seemed a remarkable statement that a company traded for over four years with one supplier and then a director had sworn that its product was unsaleable. Mr Lamy had sworn that perhaps 10 per cent of the product had been of poor quality.
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