Month: October 2018

Valdek Hetman (61), from Ilkeston, Nottinghamshire, received the maximum ban possible and was joined at Derby Crown Court on Monday 1 October by his accomplice Brendon Doherty, who received a 5-year directorship disqualification for assisting him to carry out his offences.

At an earlier hearing on 28 September at Derby Crown Court, Valdek Hetman also received a 6 months’ prison sentence, suspended for two years, and was ordered to complete 120 hours of unpaid work and pay £750 costs. Brendon Doherty was ordered to pay a £600 fine.

The court heard that Valdek Hetman was made bankrupt for 12 months in July 2014, having been petitioned by a supplies company for unpaid bills.

And two years later, he accepted a disqualification undertaking that prevented Valdek Hetman from running companies for 10 years in July 2016 for his role in the liquidation of Abbey Constructions Midlands Limited.

However, despite agreeing to be disqualified and having a range of restrictions placed upon him, Valdek Hetman continued to run companies in direct contravention of the disqualification undertaking he had personally signed.

Following complaints to the Insolvency Service, investigators found proof that Valdek Hetman had been running two companies: Abbey Construction Group (East Midlands) Limited and Abbey Construction East Midlands Limited.

Furthermore, Abbey Construction (East Midlands) Limited had been made subject to compulsory liquidation in March 2015 and the name was banned from being used again. However, Hetman and Doherty committed a further offence when they traded using the name Abbey Construction East Midlands Limited, which was deemed similar to the banned name and allowed them to benefit from the association.

When interviewed by the Insolvency Service, the construction boss said he did not accept the facts given in the disqualification he had personally accepted in 2016.

Valdek Hetman also claimed that he worked as a contracts manager and Brendon Doherty (36) from Nottingham was the real boss and the listed director of Abbey Construction Group (East Midlands) Limited and Abbey Construction East Midlands Limited.

Arwel Jones, Director of Criminal Enforcement for the Insolvency Service, said:

We were able to demonstrate in spite of Valdek Hetman’s assertions, he was clearly running those companies, while his accomplice Brendon Doherty knew exactly was going when he played Hetman’s front-man.

Our actions should serve as a warning that running a company while serving a ban is a serious offence that will land you in further trouble.

On 4 September 2018 both defendants appeared at Derby Crown Court. Valdek Hetman pleaded guilty to two counts of managing a company while disqualified and one count of managing a business known by a prohibited name.

Brendon Doherty was pleaded guilty to one count of assisting Valdek Hetman to act in the management of companies.

Notes to editor

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

Persons subject to a disqualification order are bound by a range of other restrictions.

The Insolvency Service administers the insolvency regime, investigating all compulsory liquidations and individual insolvencies (bankruptcies) through the Official Receiver to establish why they became insolvent. It may also use powers under the Companies Act 1985 to conduct confidential fact-finding investigations into the activities of live limited companies in the UK. In addition, the agency deals with disqualification of directors in corporate failures, assesses and pays statutory entitlement to redundancy payments when an employer cannot or will not pay employees, provides banking and investment services for bankruptcy and liquidation estate funds and advises ministers and other government departments on insolvency law and practice.

Further information about the work of the Insolvency Service, and how to complain about financial misconduct, is available.

Contact Press Office

Media enquiries for this press release – 020 7674 6910 or 020 7596 6187

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As lead Non-executive Director and Chair of the Audit and Risk Assurance Committee respectively,
Marc Bolland and Alan Johnson will provide advice, oversight and scrutiny to DFID’s work as independent members of the Departmental Board and attendees at the Management Board.

Marc Bolland has extensive experience across both the private and non-profit sector. He is a Vice President at UNICEF UK, Trustee on the Board of the Royal Academy of Arts, and founder of the Movement to Work charity, which provided nearly 100,000 underprivileged young people with work experience and jobs.
Marc’s current role is Operating Partner and Head of European Portfolio Operations at financial services firm Blackstone Group. Before this, Marc previously held positions as the Chief Executive Officer (CEO) of Morrison Supermarkets and CEO of Marks and Spencer.

Prior to joining DFID’s Board, Alan Johnson had a 30-year career at Unilever, including as Chief Audit Executive and Chief Financial Officer of the Global Foods Division. He holds Non-executive Director positions for several non-profit organisations, including the International Federation of Accountants and the British School in Lisbon.

Matthew Rycroft, Permanent Secretary for DFID said:

“I am delighted to welcome Marc and Alan to the Board, both of whom bring a wealth of experience and insight from which DFID’s work will benefit greatly.

I look forward to working with them both as we continue to ensure UK Aid makes a real positive impact for the UK and to people’s lives around the world.”

New rules which will help protect at least 850,000 more people in privately rented homes from poor living conditions and overcrowding have come into force this month.

All landlords who let out a property to 5 or more people – from 2 or more separate households that share facilities – must get a licence from their local housing authority.

Previously, the rules only applied to properties of 3 or more storeys – but now all properties will be covered.

The clampdown is one of a number of government measures to rebalance the relationship between landlords and tenants.

The vast majority of landlords provide decent accommodation, but these measures are about raising standards in private rented homes where landlords knowingly flout their responsibilities.

Under the new rules, all bedrooms must be at least 6.5 square metres and councils must ensure tenants have suitable space to store their rubbish outside homes.

Housing Minister Heather Wheeler MP said:

Everyone renting a home has the right to expect it is maintained to a decent standard.

Extending licensing to 170,000 more properties will ensure people benefit from better quality accommodation across the country.

There are currently around 60,000 licensable ‘houses in multiple occupation’ (HMOs) but from today a further 170,000 will require licences.

An estimated 4 million people live in private rented homes, and now at least 1.1 million who are in licensable HMOs will benefit from the protection provided by HMO licensing.

Under the existing rules, enforcement officers in Brent, north-west London, raided an unlicensed 3-bedroom HMO in September 2017, and found 35 men bedding down on mattresses in every room except the bathrooms.

The property was raided after neighbours complained about overcrowding, anti-social behaviour and fly tipping.

Advice for landlords

Before a landlord gets a HMO licence, they must prove to the council they are a ‘fit and proper’ person and the property is of a suitable standard for the number of residents.

Councils can put in place conditions about how the HMO is managed.

See advice on applying for a HMO licence.

All HMOs with any number of storeys that have 5 or more tenants, who aren’t related, and who share facilities like kitchens or lavatories, will require a licence from today.

Landlords should speak to their council about getting a licence, or they could face enforcement action.

If the HMO already has a licence under a local authority ‘additional or selective licensing’ scheme, then the landlord will not need to apply for a new licence until it expires.

The rules came into force on 1 October 2018.

Peter Druzyc appeared at Coventry Crown Court on Monday 1 October after he was found guilty of two counts of fraudulent trading and one count of fraudulently removing property in anticipation of winding up.

Incorporated in 1988, Secure Systems Limited (SSL) designed and manufactured electronic security systems. Peter Druzyc (58) of Kenilworth, Warwickshire, was appointed a director in January 1999 before becoming the sole director of SSL in August 2005

However, between 2009 and 2011 SSL entered into financial difficulties and as a result was placed into administration, before being liquidated in August 2013.

Investigators from the Insolvency Service looked into the conduct of Peter Druzyc while boss of SFF and concluded he was fully aware the company was performing poorly and could not meet its liabilities, yet continued to conduct business and avoided paying his creditors on purpose.

He owed between £400,000 and £436,000, as well as more than £45,000 to other creditors. Peter Druzyc also paid out £43,500 across several payments from SSL’s bank account to other accounts he controlled, with the last payment taking place only 7 days prior to the company entering into administration in February 2012.

In addition to the sentence, Peter Druzyc previously agreed to an eight year directorship disqualification and at court was ordered to pay costs.

Peter Druzyc’s disqualification means that he is banned from directly or indirectly becoming involved, without the permission of the court, in the promotion, formation or management of a company.

Glenn Wicks, lead investigating officer for the Insolvency Service, said:

This man systematically ripped off two companies with no intention of paying either his creditors or his tax liabilities and took every opportunity to dishonestly maximise his income and personal finances prior to SSL’s liquidation.

The courts have shown that they will always consider imprisonment for this type of offence and we are pleased with the final result.

Notes to editors

Peter Druzyc is from Kenilworth, Warwickshire, and his date of birth is August 1960.

Secure Systems Limited (Company Number: 02251448).

Peter Druzyc agreed to an eight year disqualification undertaking in February 2014.

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.

Further information about the work of the Insolvency Service, and how to complain about financial misconduct, is available.

Contact Press Office

Media enquiries for this press release – 020 7674 6910 or 020 7596 6187

You can also follow the Insolvency Service on:

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• LinkedIn
• YouTube