F1Persons instructing unfit directors
C18ZEDisqualification undertaking instead of an order under section 8ZD
1
If it appears to the Secretary of State that it is expedient in the public interest to do so, the Secretary of State may accept a disqualification undertaking from a person (“P”) if—
a
any of the following is the case—
i
a disqualification order under section 8 has been made against a person who is or has been a director (but not a shadow director) of a company,
ii
the Secretary of State has accepted a disqualification undertaking from such a person under section 8(2A), or
iii
it appears to the Secretary of State that such an undertaking could be accepted from such a person (if one were offered), and
b
it appears to the Secretary of State that P exercised the requisite amount of influence over the person.
That person is referred to in this section as “the main transgressor”.
2
For the purposes of this section, P exercised the requisite amount of influence over the main transgressor if any of the conduct—
a
for which the main transgressor is subject to the disqualification order made under section 8,
b
in relation to which the disqualification undertaking was accepted from the main transgressor under section 8(2A), or
c
which led the Secretary of State to the conclusion set out in subsection (1)(a)(iii),
was the result of the main transgressor acting in accordance with P's directions or instructions.
3
But P does not exercise the requisite amount of influence over the main transgressor by reason only that the main transgressor acts on advice given by P in a professional capacity.
Ss. 8ZA-8ZE and cross-heading inserted (26.5.2015 for specified purposes, 1.10.2015 in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), ss. 105, 164(1); S.I. 2015/1329, reg. 3(c); S.I. 2015/1689, reg. 2(c) (with Sch. para. 1)