(1) If any person is knowingly a party to the carrying on of the business of the company with intent to defraud creditors of the company or creditors of any other person or for any fraudulent purpose, that person shall be guilty of an offence.
(2) Any person who is convicted of an offence under this section shall be liable -
(a) on summary conviction, to imprisonment for a term not exceeding 12 months or to a fine not exceeding £1,000 or to both, or
(b) on conviction on indictment, to imprisonment for a term not exceeding 7 years or to a fine not exceeding £50,000 or to both.