The Insolvency Service disqualified Garry Gibson from acting as a director for 15 years, the maximum ban it can hand down, while his son, Steven Gibson, was banned for four years at Edinburgh Sheriff court.

Garry Gibson, who had already be disqualified for 12 years for misconduct as a director of Red Castle Homes, used his son’s name to control the Edinburgh-based house builder.

Roxburgh Homes left a string of subcontractors in the lurch two years ago when it went bust with debts of £475,826.

The Insolvency Service found that Gibson senior was the main point of contact with the company’s bankers. He described himself as the ‘owner’ of Roxburgh Homes and negotiated a joint-venture agreement with a finance company.

Steven Gibson was appointed as a registered director of the company on 30 June 2005. Investigators found Steven Gibson abrogated his duties to his father, and by doing so caused or permitted Garry Gibson to act as a director, which led to the detriment of many creditors.

Robert Burns, head of company investigations and enforcement at the Insolvency Service, said: “The public and other company directors should be reassured that service has robust powers which we will not hesitate to use to protect consumers from directors like Mr Gibson who ignore the terms of their disqualification and go on to run further businesses to the detriment of their creditors.”

Anyone who knows of a person who is acting in breach of a director disqualification order or undertaking can report them to The Insolvency Service enforcement hotline on 0845 601 3546.