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TC is told to think again

12th March 1998, Page 22
12th March 1998
Page 22
Page 22, 12th March 1998 — TC is told to think again
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Which of the following most accurately describes the problem?

• Eastern Traffic Commissioner Brigadier Compton Boyd has been directed by the Transport Tribunal to reconsider his decision to revoke the licence held by Nailstone haulier Patricia Bakewell, trading as Bakewell Haulage, on financial grounds.

He also refused her application to increase her licence authorisation from four vehicles and eight trailers to nine vehicles and eight trailers (CM 31 Jul-6 Aug 1997).

Allowing Bakewell's appeal, the tribunal said she had entered the haulage business in her own name in 1995 when she was granted a licence for four vehicles and eight trailers. She also owned five vehicles which were operated under her father's 17vehicle licence until he went bankrupt in October 1996.

The TC heard that Bakewell owed substantial sums to the Inland Revenue and Customs & Excise in arrears of PAYE and VAT He was reluctant to take into account £81,000 owed to Bakewell because this was likely to be ongoing and did not improve cashflow. Her bank was not prepared to extend her £3,000 overdraft.

The TC gave time for additional financial information to be produced. Documents submitted included letters from the Inland Revenue and Customs & Excise to the effect that they had approved instalment arrangements for the payment of the outstanding debts. It was also said that a factoring arrangement had been entered into.

For Bakewell, Ian Rothera told the Tribunal that the TC had been wrong when he refused to take account of the debts owed to her and he had failed to take account of the further evidence.

The Tribunal said that in the light of Bakewell's involvement in her father's business, it would expect the TC to scrutinise the financial evidence carefully and he had done so. However, he had failed to mention the proposed factoring arrangement. If Bakewell did not have appropri ate financial standing for nine vehicles, he still had to consider the position for the existing four vehicles and eight trailers.

As Bakewell had been permitted to continue to trade under interim authority with nine vehicles for more than a year, it was likely that her financial position ought now to be clarified, said the Tribunal.


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