Gordon was a director and chairman of Ipinsos Ltd and was facing possible legal action for breach of duties and criminal prosecution. According to the liquidators, trade financing was obtained from the company

$$

s two largest creditors consisting of: US$

$1$

$3$

$6$

$$million drawn down for cargo trading operations, and US$

$1$

$2$

$$million drawn from a facility for the company

$$

s trucking operations allegedly when the company was balance

$-$

sheet insolvent. The cargo trades, trucking and books and records were directly managed by Ms Zainab, a former director and

$8$

$5$

$$per cent shareholder, and former chief financial officer Goodison. Receivables of US$

$1$

$0$

$0$

$$million was allegedly owed by Moneysmart Ltd

$.$

$$In fact, the invoices the company issued to Moneysmart Ltd

$.$

$$from September

$2$

$0$

$2$

$2$

$$to February

$/$

March

$2$

$0$

$2$

$3$

$$were for bogus transactions. In June

$2$

$0$

$2$

$3$

$,$

$$the company

$$

s freight operator craft licence was suspended after the Ports Authority detected operational irregularities during an inspection. Gordon told the liquidators that he appreciated that the company was

$$

under tremendous financial strain

$$

$$at the time and expected things to improve but that he was neither aware of nor suspected that any malpractice was going on

$.$

$$Moreover$,$ the was directly by Ms Zainab who had been long at the job, more knowledgeable in the business, and had done a respectable job to build the company up before he joined. Discuss.

this is a business law subject