Unfortunately these things often do not occur until such time as...

Unfortunately these things often do not occur until such time as a creditor, normally secured as it is to risky for unsecured creditors, puts them into administration. It is then that proof of insolvency very often comes about. In insolvency cases, if proved, the directors can be held liable for all debts incurred from the point of insolvency as well as being liable for substantial fines and being disallowed from being a director for a set time.