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Unusual application for 25 vehicles

28th November 1969
Page 26
Page 26, 28th November 1969 — Unusual application for 25 vehicles
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Which of the following most accurately describes the problem?

• In Glasgow on Monday an attempt was made to have a licence granted to a company which operated formerly in Glasgow, went into liquidation on the accidental death of 'the proprietor, and was now in the hands of the liquidator. The application was for an A licence for three vehicles of 22 tons and a 8 licence for 22 tippers of 99 tons, to operate on a wide range of tipping work in Central Scotland and Northern England. The decision was reserved.

Mr. James Law appeared for the liquidators of Kelvin Transport Services Ltd., whose principal had been killed in a car accident. Its affairs had been put into the hands of a Glasgow accountancy firm which had faced demands from hire purchase companies for repossession of the outstanding vehicles.

The creditors felt that since so many vehicles had been repossessed the remaining units should be returned; the company ceased to trade actively on July 14 1969.

Mr. James McLaren, the liquidator, said that prior to the owner's death the business was sound and substantial. There had been a very high level of vehicle earnings and a useful business did exist. To grant the application would permit a restart and the possible sale of the business to the benefit of the creditors.

Mr R. Mackenzie, for the objectors, said this was a sad business but that the duty of the objectors remained clear. There had been no operation since July 14 and the obvious intention was to sell the goodwill. But there had been no evidence of need and current needs were in fact being met Mr. A. B. Birnie, the LA, said that it appeared he was being asked to grant licences to someone wo was not going to continue the business. but Mr. Law said that he recalled a Tribunal decision of similar circumstances where it had been ruled that a period of non-operation, as applied here, would not be fatal to an application of this type.