UK bans financier Greensill from being company director

· Michael West

Britain will ban Australian financier ‌Lex Greensill, founder of supply chain financing firm Greensill Capital, which ‌collapsed with huge losses in 2021, from acting as a company director for nine years.

The company collapsed after one of its main insurers declined to renew its cover. 

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Its UK arm ‌had liabilities ‌of more than Stg1.6 billion ($A3 billion), causing heavy losses for ​investors and prompting lawsuits and regulatory probes.

“A nine-year ban is a significant period – above the average for director disqualifications – and reflects the serious nature of Lex Greensill’s conduct,” Insolvency Service chief executive ⁠Duncan Beach said in ‌a ​statement on Thursday.

Greensill’s conduct breached his legal duty under British rules to ​exercise reasonable care, ‌skill and diligence as a company director, the agency’s statement ​said.

Greensill signed a disqualification undertaking, a legally binding agreement where directors do not dispute certain facts to end ​court ​action, it said. 

​A six-week trial had been due ‌to begin on June 8 but will no longer go ahead.

His ban, which comes into effect on June 23, prevents him acting as a director or being involved ​in the promotion, formation or management of a company, without ​the permission ⁠of the court.

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