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Droveridge fraud leads to heavy fine
Page 20
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• Using PSVs without an 0licence or insurance cost Droveridge and its transport manager John Buxton 2885 in fines and costs, when they appeared before the Huddersfield magistrates on 16 March.
The company, of Birkby, admitted one specimen offence of using a vehicle without a PSV licence disc displayed; one specimen offence of using a PSV licence disc with intent to deceive; two offences of using vehicles without an 0-licence, and one offence of using a PSV without insurance.
Buxton admitted consenting to the company using a vehicle without a PSV licence disc, allowing the use of vehicles without a licence, permitting the use of a vehicle without insurance, and aiding and abetting the use of a licence disc with intent to deceive.
Prosecuting, Richard Wadkin said there was an element of fraud in that the defendants had set out to deceive the public. Buxton, who was the driving force behind the company, had been director and transport manager of SKI Motors (Shelley), which had gone into voluntary liquidation.
On hearing that SKI had ceased trading, the Traffic Commissioner wrote requesting the return of that company's licence discs. On learning that Droveridge would be taking over the SKI services, the Commissioner wrote to the receiver pointing out that Droveridge could not operate on the SKI licence.
A traffic examiner later saw a vehicle in service without a licence disc displayed, but with the SKJ name on the side. Enquiries revealed that vehicle had never belonged to SKI.
An investigation revealed that the vehicles were insured in the name of Wanderama Travel, a dormant company. Invoices for work carried out were submitted in the name of Droveridge and Wanderama.
Defending, Andrew Rothers said the company and Buxton were victims of a situation which was not of their making. SKI had gone into liquidation in November 1987, but it had gone on with its minibus services until it could be taken over. At that stage SKI was under the total control of the receiver.
Hope Valley Council gave Buxton a one-year contract to run the services and there were no problems until Feb 1988, when the receiver wrote to the Commissioner to say the services had been sold to Droveridge.
Buxton applied for a licence and meanwhile continued to use the SKJ licence on the advice of the receiver. The commissioner never suggested that Buxton stop operating, he merely requested the return of the SKI licence and discs. El Last October the receiver, William Swindell, was fined 2350 for aiding and abetting Droveridge to use a PSV without a licence or insurance. (CM 27 Oct-2 Nov 1988).