Under the Companies Act 1948 s 332(1), if it appears that any business of the company has been carried on with intent to defraud creditors of the company or of any other person or for any fraudulent purpose, the court may declare that any persons who were knowingly parties to the carrying on of the business in such manner are to be personally responsible. Where any business is carried on with such intent or for such purpose, every person who was knowingly a party to the carrying on of the business in such manner, is liable to imprisonment or to a fine or to both: s 332(3).