Re Barings Plc
| Jurisdiction | England & Wales |
| Judgment Date | 29 September 1998 |
| Date | 29 September 1998 |
| Court | Chancery Division |
Chancery Division
Before Sir Richard Scott, Vice-Chancellor
Directors - allowing disqualified director to work
The importance of protecting the public from the sort of conduct which led to a disqualification order being made against a director had to be balanced against the need for the applicant to be able to act as director of a particular company.
The fact that a need for the applicant to be given the section 17 leave sought and that the companies wanted him to be given had not been established was not of itself a sufficient reason for withholding leave.
Sir Richard Scott, Vice-Chancellor, so held in a reserved judgment in the Chancery Division, granting leave pursuant to section 17 of the Company Directors Disqualification Act 1986 for the eighth defendant, Peter Michael Russell Norris, to continue to act as a non-executive director of three companies, John Brown Enterprises Ltd, Screen West Ltd and Corporate Communications Consultants Ltd.
On March 3, 1998 the Vice-Chancellor had made an order under section 6 of the 1986 Act disqualifying Mr Norris from acting as a company director without leave of the court for a period of four years.
Miss Elizabeth Gloster, QC, for the Secretary of State for Trade and Industry; Mr Norris in person.
THE VICE-CHANCELLOR said that the basis on which the disqualification order was made against Mr Norris, a former director of Barings plc, was that he had not given a number of highly significant events arising out of Nick Leeson's trading activities in Singapore the attention that the responsibilities of his senior position within Barings and the events themselves had merited.
After the termination of his employment at Barings, Mr Norris set up business in partnership with his wife providing management and advisory consulting services.
Clients included John Brown Enterprises Ltd ("JBEL") and Corporate Communications Consultants Ltd ("CCC"). JBEL was the holding company of John Brown Publishing Ltd and John Brown Contract Publishing Ltd, both of which published magazines.
Screen West Ltd ("SWL") was a subsidiary of JBEL, set up to instal and operate a 74-seat theatre for the viewing of multimedia productions at JBEL's premises, both for internal use and for hire. CCC specialised in the production of film, video and digital media presentations for corporate clients.
Mr Norris was an unpaid non-executive director of those three companies. Affidavit evidence from the...
To continue reading
Request your trial
-
Weavering Macro v Peterson
...D. Lord, Q.C. and S. Folpp for the plaintiffs; B. Valentin and Ms. K. Houghton for the defendants. Cases cited: (1) Barings PLC, Re, [1998] BCC 583, distinguished. (2) Barings PLC (No. 5), Re, [1999] 1 BCLC 433, followed. (3) City Equitable Fire Ins. Co. Ltd., In re, [1925] Ch. 407; [1924] ......
-
Secretary of State for Trade and Industry v Bairstow
... ... 24 Finally I should refer to the CDDA proceedings heard by Jonathan Parker J reported as Re Barings plc (No.5) [1999] 1 BCLC 433 ... The proceedings arose out of the collapse of Barings plc due to the unauthorised trading activity of an employee of a subsidiary company in Singapore. There had been enquiries in both England and Singapore into what went wrong. These had led to a report of the Bank ... ...
-
Secretary of State for Trade and Industry v Bairstow
...has a particular responsibility to satisfy himself that what is said in the Chairman's Statement is accurate. 25 In Re Barings plc. [1998] BCC 583 Sir Richard Scott V-C (as he then was) had to consider an application by the Secretary of State for a disqualification order under the 1986 Act ......
-
The Official Receiver v Philip Leigh Tose And Others
...placing this at the top end of the minimum bracket. I have also considered the terms imposed for some of the directors in Re Barings plc [1998] BCC 583 and in Re Barings plc (No. 5) [1999] 1 BCLC 433 and [2000] 1 BCLC 523. The director in the first case, which was conducted under the Carecr......
-
Private Fund Directors: Don't Just Sit There - Do Something!
...Lindsay Trapp for her assistance in drafting the article. Cause No. FSD 113 of 2010 (AJJ). Re Barings Plc, Secretary of State v. Baker [1998] BCC583, at p. The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your......
-
Olympus Brings The Cayman Islands Into Global Focus Once Again - Time To Reflect On Weavering!
...November 2011 Bloomberg 9th November 2011 1999, 1 BCLC 433 at p. 489 2 BCLC 646 at p. 653b-c Re Barings Plc, Secretary of State v Baker [1998] BCC 583 at p The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your......
-
Leave to Act as a Company Director Following Disqualification: Re Barings plc
...former chairman of the bank's asset and liability commit-tee consented to a disqualification order on similar grounds: see Re Barings plc [1998] BCC 583. (16) Re Tech Textiles Ltd [1998] 1 BCLC 259. (17) Re Shneider (1997) 22 ACSR 497. (18) Re Cargo Agency Ltd [1992] BCLC 686, [1992] BCC 38......