Cut Rate for Contract 'Alleged
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RATE-CUTTING was alleged by an objecting firm when Mr. W. Bell, Felling-on-Tyne, applied to the Northern Licensing Authority, on Monday, for a B licence to carry school meals within 15 Miles in a 1-ton van.
Mr. Bell said his tender of £2 5s. a day for the yvork had been accepted by Durham Cotinty Council. The objectors, Tyneside Removals, Jarrow-onTyne. had been doing the work for the past five years, but their last tender, for £2 I5s. a day, had not been accepted by the council.
Mr. Bell said he was previously an engineer, but had given up through illhealth. He had a small shop, and bought a van for this business, but he wanted some other work to help him out.
After his tender was accepted, he applied for a licence. An application for a short-term licence to allow him to begin the work had been refused.
Questioned by Mr. T. H. Campbell Wardlaw, for the objectors, Mr. Bell said he knew the objectors were doing the work previously, but he thought their vehicles were unsuitable.
Mr. D. Jackson, a partner in the objecting firm, said that four vehicles were operated, three on furniture removals and general work and the other on school meals only. This vehicle had been idle since the end of March, as their tender had not been accepted. At the present time, the council were doing the work with one of their own vehicles. • Asking the Authority to refuse the application, Mr. Wardlaw said one would have thought that Durham County Council would have invited tenders from people who were authorized to do that work. "As it is, these people are being dispossessed in favour of newcomers. It is a good example of wasteful competition," he added.
Mr. J. A. T. Hanlon, Licensing Authority, said he did not think he should refuse the application out of hand, and would consult the council on the matter. He would adjourn the case for ,a few days.