Ashraf Ali, also known as Elyas Sultan Ali, was the sole director of Greencrescent Ltd which traded as the restaurant/takeaway Shimla Pinks from September 2011 until it went into liquidation in November 2013 with an estimated deficiency at the timeof £255,701.

The lack of adequate books and records meant it has not been possible to ascertain the accuracy of late VAT returns submitted by Ali or the true level of liability owed to HMRC for VAT.

The liquidator was also unable to ascertain what became of company assets valued at £34,679, and as no company bank statements were produced or could be obtained, it is not known what income or expenditure was made into or out of the company bank account and whether any expenditure was for the benefit of the company.

Robert Clarke, head of company investigation at the Insolvency Service said: ‘Directors have a duty to ensure that their companies maintain proper accounting records, and, following insolvency, deliver them to the office-holder in the interests of fairness and transparency. Without a full account of transactions it is impossible to determine whether a director has discharged his duties properly, or is using a lack of documentation as a cloak for impropriety.

‘Where records are held electronically, the expectation is that a company will keep a separate, up to date, back-up in a secure location. Mr Ali has paid the price for failing to do that, as he cannot now carry on in business for the duration of his ban other than at his own risk.’