Keeping track of company directors
It’s been nine years since someone suggested a way to stop company directors from avoiding creditors by creating a ‘Phoenix’ company. ‘Phoenixing’ describes the process when a new business arises from the ashes of a liquidated company. It’s a loophole that allows unscrupulous people to leave their debts behind with the liquidated company and start afresh (leaving creditors out in the cold). The total cost of Phoenixing to the Australian economy is estimated to be…