PMS directors face disqualification
The News Letter reports that the Department of Enterprise Trade and Investment (DETI) has decided "that it is in the public interest to seek disqualification orders against six directors" of the Presbyterian Mutual Society. The department has written to all the directors involved. Yesterday marked the second anniversary of the company going into Administration.
The six directors who have received letters from DETI have been told that they face disqualification on the grounds that they caused or allowed the Presbyterian Mutual Society to:
1. Carry on the business of banking contrary to the Industrial and Provident Societies Act.
2. Accept deposits as a deposit-taking business in breach of the Banking Act 1987 and I&PS Act 1969.
3. Carry on a regulated activity, namely accepting deposits, without authorisation under Financial Services and Markets Act 2000.
4. Making loans to non-PMS-members in breach of PMS rules.
5. Failing to ensure the directors met sufficiently often to control PMS affairs.
6. Pursuing investment/lending policies not consistent with PMS rules.
7. Having a director who was not a member of the PMS.
8. Allowing non-members to borrow money.
9. Allowing non-Presbyterians to invest.
Read Philip Bradfield's News Letter story in full here.