ASIC has banned two directors from managing corporations following their involvement in failed companies.
Kumari Kauye and George Kauye, both of South Yarra in Victoria, have been disqualified for two years and a year-and-a-half respectively, following an ASIC investigation into their association KCG International (KCG) and International Consulting Group Australia (ICGA).
The companies were involved in providing management consulting services in Asia, ASIC said.
KCG was wound up in July 2000 and ICGA in August 2004, with liquidators being appointed.
Information subsequently passed to ASIC revealed that the two companies collectively owed more than $1.4 million to creditors.
ASIC said the husband and wife pair breached their directors' duties by failing to keep proper accounts, failing to assist in the winding-up of the companies in the interest of creditors, and failing to prevent ICGA from incurring debts when they knew there were reasonable grounds for suspecting it was insolvent.
"Company officers have important obligations under the Corporations Act. ASIC will act against those it finds are disregarding those responsibilities," said ASIC deputy executive director for enforcement Allen Turton.
