A former agent has been disqualified from being a director after spending over £68,000 of tenancy deposit money.
Kelly Forrester, who owned Clear Lettings – better known as Clear Property – in Exeter, failed to protect the deposits over a period of nearly three years, between June 2016 and last April.
The £68,356 worth of deposit money related to some 54 properties, the Insolvency Service said yesterday.
Forrester, 40, spent the money instead on running the company – misconduct that was discovered after Clear Lettings went into liquidation last April.
Forrester did not dispute that Clear Lettings had failed to safeguard the deposits, as required by the Housing Act 2004.
Forrester has now been banned for six years from acting as a director or becoming directly or indirectly involved in the promotion, formation or management of a company, without court permission.
Dave Elliott, chief investigator for the Insolvency Service, said: “Kelly Forrester failed to safeguard the deposits she was entrusted to hold on to, resulting in losses to both landlords and tenants.
“Her conduct fell short of what is required of a director of a limited liability company and her disqualification will act as a deterrent to others from similar conduct in the future.”
Forrester founded Clear Lettings in 2007. The business was highly rated in the Best Agent Guide for 2018 and awarded ‘excellent’ in the 2019 guide.
When the business abruptly closed last February, she cited Brexit and her health.