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Relaunch after Um crash

20th March 1997, Page 25
20th March 1997
Page 25
Page 25, 20th March 1997 — Relaunch after Um crash
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Which of the following most accurately describes the problem?

• The directors of a company that crashed owing almost 22m have won an 0-licence for a new firm.

KDC Contractors, of Denton, Manchester, asked for a licence for 10 vehicles and two trail ers. The directors—Martin O'Donnell, Barry Kilroe and his wife Christine—were previously directors of Kilbar Group, which went into liquidation in November 1995. KDC was granted interim authority to operate six vehicles in February 1996. When the application came before North Western Deputy Traffic Commissioner Alan Cattell last June, he was told that the company would be unable to produce audited accounts as its first year of trading did not end until October 1996 and realistically it was felt that it would be January 1997 before audited accounts were available.

Cattell heard then that KDC ran from the same premises as Kilbar, but although it had acquired some of the old company's contracts, plant, machinery and vehicles from Kilbar, the new company operated on a much smaller scale.

Catell adjourned those proceedings until accounts for the first year were available, saying he wanted a further testing period as it was too early to accurately assess the performance of the new company (CM 27 June-3 July 1996). When the hearing was continued, Catell granted the company a licence for eight vehicles, saying he was satisfied with the draft accounts that had been produced.


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