Dominic Chappell, the former racing driver who acquired BHS in 2015, is facing a potential 15 year disqualification over the high street retailer’s subsequent collapse, but previous owner Sir Philip Green will not face disqualification proceedings, the Insolvency Service has said
A spokesperson for the Insolvency Service said: ‘We can confirm the Insolvency Service has written to Dominic Chappell and three other former directors of BHS and connected companies informing them that we intend to bring proceedings to have them disqualified from running or controlling companies for periods up to 15 years.
‘We can also confirm that we have written to Sir Philip Green, also a former director of BHS, informing him that we do not currently intend to bring disqualification proceedings against him.’
Chappell, a former racing driver who has declared bankruptcy on three occasions, bought BHS for £1 via his vehicle Retail Acquisitions Ltd (RAL). Just over a year later in April 2016 the chain collapsed with the loss of 11,000 jobs.
Following a subsequent Parliamentary inquiry, Green agreed with The Pensions Regulator (TPR) to pay £363m into the BHS pension scheme. Chappell has been asked to pay £10m to stem the deficit, and has been fined £87,000 for failing to cooperate with TPR.
Representatives for Green said in a statement: ‘Sir Philip and his fellow directors have co-operated fully with the Insolvency Service since its investigation commenced in May 2016, and welcome this decision.
‘Identical confirmations have also been sent to a number of other individuals who were BHS directors in the period prior to its acquisition by RAL.’
The Insolvency Service said it would be making no further comment at this point, as the matter may now be tested in court.
Report by Pat Sweet
