Business fraud - Get-tough policy to be welcomed

NEWS that up to 1,000 people are to be barred from acting as company directors is a revealing comment on the world of business.

This represents a marked increase on 2002 when three directors were disqualified from running firms while 66 people were convicted for company law offences in 2004, a 50% rise on 2003.

According to Corporate Enforcement director Paul Appleby, fraudsters, thieves and those convicted of embezzlement will be hunted down.

By identifying individuals disqualified from holding office following convictions, the watchdog aims to add at least 1,000 names to the register of barred directors. As things stand, the register contains about 20 names.

This get-tough policy is to be welcomed and will go a long way towards restoring public confidence in the activities of companies.