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Cautionary take-over tale

9th February 1968
Page 31
Page 31, 9th February 1968 — Cautionary take-over tale
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Which of the following most accurately describes the problem?

• What was described as a "cautionary tale to other inexperienced operators" was told at a Leeds public inquiry before Yorkshire deputy LA, Mr. M. Gosnay, last week.

W. H. Beaumont, Methley, a B-licence holder for 18 months, was successfully applying for a new A licence for three attics. BRS and BR objected.

In April last year Savile Transport Ltd., Methley, with a 38-vehicle A licence, became insolvent and Mr. Beaumont contacted one of the liquidators, Mr. J. C. Hanson. At a subsequent meeting he agreed to pay £1,500 for the goodwill of three of the Savile vehicles and handed over a cheque to Mr. Hanson for £150 as a deposit. He later entered into a hire purchase agreement with Bowmaker Commercial Ltd. for the three tractors and five trailers, taking over liability for the £11,100 balance.

Mr. Hanson agreed to employ an expert to transfer the licences and Mr. Beaumont commenced operating the vehicles in April. Having heard nothing from the liquidators by July, he approached his own solicitors and after correspondence with solicitors for the joint liquidators, Mr. Beaurnont's deposit cheque was returned with the explanation that a contract with only one liquidator was not binding. He was told that his hp commitments were his own problem.

In October he learned that as he had no licence he was operating illegally and he took the vehicles off the road. Since then Mr. Beaumont has had to meet the monthly £308 hp payments.

A company owned by the joint liquidators, Oak Park Transport Ltd., took over the Savile vehicles, applied for and were granted licences for them in July. However, in December Oak Park was called to a 178 inquiry and its licence revoked.

Mr. Beaumont said that since October he had tried to help his customers by subcontracting their work. The manager of FMS Farm Supplies Ltd., Mr. W. N. Thompson, said he required vehicles with adequate loading facilities, such as the sack loaders fitted to the Beaumont vehicles. He had had complaints from his customers about unsuitable vehicles and he wished to leave transport problems to the haulier. Other witnesses gave evidence of export goods being held up for lack of transport to the docks.

BRS figures showed no vehicle availability at Goole and Knottingley, submitted Mr. H. G. Hall for Beaumont, and almost 100 per cent return-loading for vehicles reporting in from other depots.


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