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It all comes tumbling down for EA scaffolding firm

2nd December 2004
Page 33
Page 33, 2nd December 2004 — It all comes tumbling down for EA scaffolding firm
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Which of the following most accurately describes the problem?

The front company for a scaffolding operation loses its licence for good.

A COMPANY providing labour and transport for an operator without a licence at the same operating centre has paid the price for its illegal activity. Both the company and its director, Pau] Keevill, have been disqualified from holding or obtaining an 0-licence indefinitely.

Keevill's company, EA Contract Services of Luton, held a restricted licence for six vehicles and two trailers. It had been called before the Eastern Traffic Commissioner Geoffrey Simms to explain its association with EA Scaffolding & Systems, based at the same address.

In May Lenwadebased George Wright, trading as Wright Transport Services, lost his licence and was disqualified indefinitely for illegally allowing EA Scaffolding to use his yehicles. The TC then refused a fresh application for a new licence by EA Scaffolding which had been using Wright's vehicles. That company's director, Robert Vernon, had been disqualified from holding an 0-licence for six months in December 2000 (CM 27 May).

Shared assets Traffic examiner Fiona Rutland said EA Scaffolding and EA Contract Services shared the same registered office, accountants, company secretary, correspondence address, operating centre and maintenance contractor.

Three vehicles specified on the EA Contract licence were registered to EA Scaffolding until June when they were transferred to the name of Keevill, EA Contract Services director.A bank account opened by EA Contract was activated by a substantial deposit from EA Scaffolding.

For EA Contract Services, Chris Hallsworth said Vernon had been a customer of a German scaffolding equipment manufacturer, of which Keevill was managing director. When EA Scaffolding failed to obtain a licence Keevill made approaches to buy Vernon's business. Vernon played no part in the activities of E A Contract. Revoking the licence, the TC said there was no evidence of a legal transfer of Vernon's business to Keevill. Neither Keevill nor EA Contracts had purchased the EA Scaffolding business and Keevill's statement in a letter to the Traffic Area Office that he had purchased the business from the former owner was false.

The truth was that EA Scaffolding held all the contracts. Four months after he had claimed to have purchased the business Keevill had not obtained a single contract.

EA Contract was supplying transport and labour to EA Scaffolding and the latter was its sole source of income.

Unacceptable challenge The TC concluded that EA Contract was a device to overcome the inability of EA Scaffolding to obtain an 0-licence. EA Scaffolding was the de facto operator of the vehicles and Keevill was acting as a front for Vernon. The use of EA Contract's restricted licence to carry goods for EA Scaffolding was unlawful.

Making the disqualification orders, the TC said that, four years after he had revoked EA Scaffolding's original licence and disqualified Vernon, the company had continued to operate vehicles under Vernon's direction. That presented an unacceptable challenge to his authority. Those unlawful activities had been facilitated by the active participation of George Wright and Paul Keevill.


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