A CLASH with the taxman has seen business partners from Westhoughton - who ran a Trafford hostelry - subjected to trading bans.

Ann Gagon and Elizabeth Gagon ran the Little B in Sale through their company EAG Hospitality, according to the Insolvency Service.

But that outfit went into liquidation last December, owing more than £88,000 to various parties.

And the Insolvency Service has now secured director disqualifications against both women, after complaints from HM Revenue and Customs over events leading up to the firm's demise.

An inquiry has found that the taxman was owed £56,914 in VAT and £17,127 in pay-as-you-earn and National Insurance contributions by the time EAG went under.

The company was only incorporated in June 2018 and the publicans traded at the premises between July 2018 and July 2019.

An Insolvency Service official said Ann Gagon, 62, of Sandalwood, Westhoughton, had "allowed EAG Hospitality to trade to the detriment of HM Revenue and Customs" while withdrawing £96,801 for her own benefit at the time.

An investigation disclosed that she had acted as a director of the enterprise despite there being no formal appointment process.

The company was not registered for VAT until August 2018. The first return, for £20,818, was eventually settled by the following May.

But they failed to pay a later liability, after filing a return, then neglected to file records for the quarter ending May 2019. Similar issues arose with PAYE and National Insurance.

Payments totalling £644,905 were paid to other creditors over the same period, says the Insolvency Service.

Ann Gagon has been disqualified as a director for 42 months and Elizabeth Gagon, 33, also of Sandalwood, for permitting her business partner's conduct, for 30 months. The firm, before its collapse, also owed £6,000 to BT Sport and £5,400 to Trafford Council.