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Son refused licence to set up in the ashes of dad's firm
Page 28
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An alleged 'phoenix' company formed by the son of an operator whose licence was revoked last year has failed in its bid for an Operator's Licence.
The Welsh Traffic Commissioner David Dixon was concerned that Tenby-based Damsarec was a phoenix company following the revocation of the licence held by director Darren Jones' father George (CM 27 Feb-5 Mar.)
The IC was told that during a roadside check a three-axle trailer used by the company, but belonging to George Jones, was found to have half its brakes not working. When it was presented for the prohibition to be lifted, the problems were still there and a further four defects were found, including a fractured cross member.
Darren Jones said that the company was involved in demolition and the haulage of scrap. His mother was a director and the company secretary, but his father had nothing to do with the business, though he did purchase scrap from him. He had bought the trailer loaded with scrap off his father and it had not been used since.
The TC pointed out that Jones' father was shown as a director of the company from 15 September 2001, but had resigned on 19 March 2002, the day before the company's interim licence application.
There was also a connection with vehicles being parked at Pembroke, and the fact that Jones carried scrap for his father and still lived at home. The IC said that alongside the prohibition imposed on his father's trailers, it seemed that the connections were closer than were being admitted.
He adjourned the proceedings in order to give Jones time to produce up-to-date financial information. This was not forthcoming and, as a result, he refused the application and revoked the company's interim licence.