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Staffordshire Holdings faces 10 SRO firms in admin fee row
Page 13
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t by Mike Gordon
our recovery operators in taffordshire have been reintated on their local policetanaged recovery scheme fter agreeing to pay £70,000 hey have withheld from the cheme's administrators.
The operators, all memers of the Staffordshire ecovery Group (SRG), were uspended from the scheme ntil they paid the managelent tees they had withheld from Staffordshire Holdings Ltd (SHL). They allege that SHL failed to collect some £1.5m on their behalf.
Ten SRG members plan court action to establish if SHL has been carrying out its contractual functions. Solicitor Peter Beckerley, who is acting for the 10, says proceedings will be issued "very shortly",
The SRC states: The monies were previously withheld in the hope and expecta
tion of resolving matters without recourse to litigation."
A spokesperson for Staffordshire police says: It is this force's understanding that a group of 10 recovery operators still intend to pursue some form of legal action, which this force views as being wholly misconceived and without foundation. This force is therefore determined to defend such proceedings, if and when they materialise, and recover the legal costs of doing so from their opponents."
Mike Eagles, chief executive of the Road Rescue Recovery Association, says: "The ever increasing volume of unpaid recovery by association members in some areas has created unnecessary financial hardship. It is unreasonable to expect recovery operators to work for nothing—this can only lead to business failure.'
SHL declines to comment.