Blue Diamond Engineering Limited, of Shildon Industrial Estate, Shildon pleaded guilty to offences under Regulation 4(8)(b) of the Control of Asbestos Regulations 2012.
It was fined £11,000 with over £1,600 in costs.
Darlington Magistrates' Court heard how the firm was alerted to the presence of asbestos materials during a survey carried out at the company's factory premises in 2006.
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Work undertaken at the premises had the potential to disturb the hazardous asbestos materials.
However, since then, the company had not documented or implemented an Asbestos Management Plan to control the risk of exposure to employees or visitors.
HSE Inspector Michael Kingston said: "This prosecution should serve as a warning to companies to properly manage the risks of asbestos exposure.
"Whenever asbestos containing materials are found to be present, companies have a legal duty to document and implement an Asbestos Management Plan which includes measures to adequately control the risk of exposure to asbestos fibres."
(LM/CD)
