Disqualification order for employing illegal workers

The Secretary of State for Business and Trade (SoS) applied for a disqualification order under s.8 of the Company Directors Disqualification Act 1986 against Mr Azam, a sole director of a company operating a fast-food takeaway business. The SoS claimed that Mr Azam was unfit to hold office because he had caused the company to breach s.15 of the Immigration, Asylum and Nationality Act 2006 by employing two workers illegally, exposing the company to a civil fine of £20,000 which remained unpaid. His conduct had given an unfair advantage to the company which ignored the rules at the expense of those which abided by the law, had given an opportunity for the exploitation of migrant workers who were usually in a precarious position to begin with, and had exposed the company to a fine.

A period of six years’ disqualification was appropriate taking into account the guidance in Sevenoaks, and considering additional factors which indicated the respondent had financially benefited from the illegal conduct.

Secretary of State for Business and Trade v Azam [2024] CSOH 53; 2024 S.L.T. 614