asked the Minister for Industry and Commerce if, in the light of the frequent liquidation of companies to overcome industrial relations or tax problems and the subsequent formation of new companies in the same line of business by the same people, he intends to reform company law to deal with this problem as a matter of urgency.

The activities of unscrupulous company operators in liquidating companies owing substantial debts to creditors, including the Revenue, and forming new companies in the same line of business, has been a matter of serious concern.

The elimination of this problem, commonly known as the "Phoenix Syndrome", is one of the more important themes in the Companies (No. 2) Bill, 1987. The Deputy will be aware that this Bill, which was presented to Seanad Éireann on 8 May of last year, is on Committee Stage in the Seanad at present.

The general purpose of the Bill is to strengthen some of the existing provisions of company law and to introduce new measures, the essential objective of which is to eliminate, deter or penalise certain abuses and malpractices which can occur in the management and direction of companies.

I am confident that this Bill, which will radically reform the existing body of Irish company law, will adequately deal with these problems.

I am sure the Minister will agree that we have been given assurances that these measures were in train. Is he satisfied that under the provisions of the Companies (No. 2) Bill that, for instance, the manager director of a firm such as T & C Carpets, who has asserted that he intends to start up again in business under a different name, would be prevented from doing so? Apparently, because £38,000 was owed to the Revenue Commissioners that company went into liquidation. The managing director assured the creditors that he would start up in business again and see them okay.

May I dissuade the Deputy from identifying persons in any particular way?

It was mentioned in the national newspapers on 24 March that this would happen.

That may be so.

The matter referred to by the Deputy is covered by one of the objectives of the Company Law Bill, 1987, which is at present under discussion on Committee Stage in the Seanad and the Deputy will have an opportunity when the Bill comes into the Dáil to deal with that matter in detail.

I am sure the Minister will agree that the House has been talking about this problem for a number of years now, at least since the time Deputy Cluskey was Minister, and that this is one of the aspects of company law which needs to be reformed? Can the Minister indicate whether he will attach urgency to this matter in the implementation of the new Bill which he has in mind?

Absolutely.