Case details for Balvinder Shergill

Name: Balvinder Shergill

Name: STAFFS FURNISHING LIMITED

Date of Birth: 24 / 6 / 1963

Date Order Starts: 21 / 4 / 2020

Disqualification Length: 6 Years 0 Month(s)

CRO Number: 11194828

Last Known Address: 63 Cornwall Drive,, , , , STAFFORD,, ST17 0FG

Conduct: During the period from its incorporation on 08 February 2018 to its liquidation on 19 December 2018, Mr Balvinder Shergill ('Mr Shergill') failed to ensure that Staffs Furnishing Ltd ('SFL') maintained and/or preserved adequate records or, in the alternative, he has failed to deliver up sufficient accounting records to explain SFL's financial affairs. In that: SFL commenced trading in February 2018; Limited records have been delivered up by Mr Shergill in the liquidation and as a consequence: o There is no record of receipts except for payments into the bank account; o There is no adequate explanation for such receipts, which total 146,324; o It is not possible to verify that there were no debts outstanding to SFL at the liquidation date; o There is no explanation for payments out of the bank account of 152,935, of which only 27,258 could be accounted for, leaving an unexplained balance of 125,677; o There is evidence that SFL opened a bank account with another bank, which was not disclosed in the liquidation and there is no information regarding the transactions, if any, on this account; o It is not possible to verify that all creditors have been disclosed in the liquidation; o There is no evidence to support Mr Shergill's statement that all stocks were on sale or return; o It is not possible to verify that payments to suppliers made after the date of the petition did not benefit a successor company; o The losses to HM Revenue & Customs ('HMRC') for SFL's failure to register for VAT cannot be accurately determined; o No information is available regarding SFL's dealings with the Council over its charge for rates and SFL's appeals. Mr Shergill failed to register SFL for VAT with HMRC between 8 February 2018 and 8 November 2018, despite its income exceeding the threshold for registration, causing an estimated loss to HMRC of at least 10,974. In that: For the year 2017/18 the VAT threshold was 85,000; SFL's turnover was at least 146,324 for the period February 2018 to November 2018 At the flat rate scheme percentage for retail of 7.5% the estimated VAT loss to HMRC would have been 10,974. Mr Shergill failed to ensure that SFL paid business rates to the Council on time and when due, and as a result SFL traded to the detriment of the Council in respect of business rates from February 2018 to liquidation . In that - SFL began trading in February 2018 from the same premises as Stacks Living Ltd had previously traded and made total payments of 2,000 against a business rates liability of 17,339, which accrued over the period April to November 2018. SFL was wound up on the petition of the Council which was the majority creditor in the liquidation with a claim of 15,431 out of total liabilities of 19,579. Mr Shergill failed to register Stacks Living Ltd (Stacks) for VAT with HMRC between 12 December 2016 and the date of its winding up order 4 July 2018, despite Stacks income exceeding the threshold for registration, causing an estimated loss to HMRC of at least 11,628. In that: For the year 2017/18 the VAT Threshold was 85,000 Stacks turnover was at least 155,039 for the period May 2017 to March 2018; At the flat rate scheme percentage for retail of 7.5%, the estimated VAT loss to HMRC would have been 11,628; Mr Shergill failed to ensure that Stacks paid business rates to the Council on time and when due, and as a result Stacks traded to the detriment of the Council in respect of business rates from 12 December 2016 to liquidation. In that - Stacks began trading in December 2016 and made total payments of 580 against a liability of 43,372 in respect of business rates to March 2018. Stacks ceased trading in February 2018 and was wound up on 4 July 2018 on the petition of the council, which was a majority creditor in the liquidation with a claim of 42,792 out of total liabilities of 64,564 

This information is correct as at 14 / 5 / 2020



If you believe this page contains any errors, please email civil.proceedings.team@insolvency.gov.uk with details of the error that you have found.