Bankrupt nightclub boss sentenced for managing companies while banned
A nightclub boss from Bristol has been jailed for continuing to run his firm despite being banned after he was declared bankrupt.
Matthew Sellars, 40, was handed a nine-month prison term at Bristol Crown Court on 7 February, after he pleaded guilty to three counts of acting in the management or as director of a company while an undischarged bankrupt.
Sellars was declared bankrupt by the same court in August 2016, and banned from directly becoming involved in the promotion, formation or management of any company without the court’s permission, for 12 months.
But he continued to manage a company called Norcrown, a trading vehicle for a nightclub called Chasers and and a bar called Chase Inn, until it was wound up in November 2017.
READ MORE: Owner of hacked crypto exchange BitGrail sentenced to return funds to customers
According to the government’s Insolvency Service, Sellars falsely claimed in meetings to wind up the company that he had been given relief to act as a director despite being bankrupt.
Members of staff reported Sellars continued to have the last say on everything at the company, had control of the safe and was always at the premises.
At the same time as Sellars was illegally acting as the director of Norcrown, he was also breaching his bankruptcy prohibitions by remaining a registered director of another company called Conbine Leisure, which has now been dissolved.
Sellars has now been disqualified from managing or directing any company for four years from the date of his sentence. This is a separate order in addition to any continuing bankruptcy prohibitions.
Sellars is already serving a six-year prison sentence in connection with drug offences, and appeared at the court via video link.
READ MORE: Former Apple executive charged with insider trading
Arwel Jones, director of legal services from the Insolvency Service, said: ‘Matthew Sellars completely disregarded his bankruptcy restrictions and continued to run companies as though nothing had changed. This is simply not acceptable, something the court has made clear in passing a sentence of imprisonment.”
Sellars received nine months’ imprisonment for each offence, to be served at the same time.
