Day: June 12, 2018

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Press release: Birmingham supermarket bosses banned after dodging business rates

Pak Supermarket Washwood Heath Ltd, known as Pak Supermarket, was incorporated on 3 August 2010 and operated in Washwood Heath, Birmingham.

However, the company went into Creditor’s Voluntary Liquidation in January 2015 with an estimated deficiency of more than £2.8 million.

Following the company’s liquidation, an investigation by the Insolvency Service found that the company had provided misleading information to Birmingham City Council as to the identity and potential liability of the occupants of the supermarket between August 2010 and 13 October 2014.

Over the four years of trading, the company submitted to the council documents relating to eight third-party companies, suggesting these eight companies were, at separate times, the occupants responsible for business rates. As a result, this information hid that the fact that the true occupant was Pak Supermarket and it was the supermarket that was liable to pay business rates.

Prepared accounts and bank analysis showed a turnover for the company in excess of £35million and the company only made a single payment of £5,000 towards a business rates bill of at least £680,000.

Investigators then spoke to Mohammed Younis as he was the sole appointed director of Pak Supermarket between August 2010 and January 2014.

However, he told investigators from the Insolvency Service that from November 2010 he took no part in the management of the company and left it under the control of Zahir Rasul, who was only formally appointed on 15 January 2014.

The Secretary of State for Business, Energy & Industrial Strategy has since accepted disqualification undertakings of eight years from Zahir Rasul and three years from Mohammed Younis, effective from 10 April and 3 May respectively.

This means that they cannot be directors of a company whether directly or indirectly, or be involved in the management of a company in any way for the duration of their disqualifications.

Martin Gitner, Deputy Head of Investigations at the Insolvency Service, said:

Directors have a duty to provide their local council with complete and accurate information with regard to the occupants of trading premises in order to ensure that liability is properly attributed.

Where information provided is found to be false and/or misleading, resulting in a loss of funds to the Council, directors can expect to be investigated by the Insolvency Service and enforcement action taken to remove them from the market place.

Notes to editors

Mr Younis was born in April 1971 and he resides in Bradford. He was appointed director on 3 August 2010 and resigned on 15 January 2014

Mr Rasul’s date of birth is December 1979 and he resides in Birmingham. He was appointed director on 15 January 2014.

Pak Supermarket Washwood Heath Ltd (CRO No. 07333282) was incorporated on 3 August 2010 and latterly traded from Washwood Heath Road, Washwood Heath, Birmingham B8 2XJ as a supermarket

A disqualification order has the effect that without specific permission of a court, a person with a disqualification cannot:

  • act as a director of a company
  • take part, directly or indirectly, in the promotion, formation or management of a company or limited liability partnership
  • be a receiver of a company’s property

Disqualification undertakings are the administrative equivalent of a disqualification order but do not involve court proceedings.

Persons subject to a disqualification order are bound by a range of other restrictions.

The Insolvency Service administers the insolvency regime, investigating all compulsory liquidations and individual insolvencies (bankruptcies) through the Official Receiver to establish why they became insolvent. It may also use powers under the Companies Act 1985 to conduct confidential fact-finding investigations into the activities of live limited companies in the UK. In addition, the agency deals with disqualification of directors in corporate failures, assesses and pays statutory entitlement to redundancy payments when an employer cannot or will not pay employees, provides banking and investment services for bankruptcy and liquidation estate funds and advises ministers and other government departments on insolvency law and practice.

Further information about the work of the Insolvency Service, and how to complain about financial misconduct, is available.

Contact Press Office

Media enquiries for this press release – 020 7637 6498

Press Office

The Insolvency Service


4 Abbey Orchard Street
London
SW1P 2HT

This service is for journalists only. For any other queries, please contact the Insolvency Enquiry line on 0300 678 0015.

For all media enquiries outside normal working hours, please contact the Department for Business, Energy and Industrial Strategy Press Office on 020 7215 1000.

You can also follow the Insolvency Service on:

Link: Press release: Birmingham supermarket bosses banned after dodging business rates
Source: Gov Press Releases

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Press release: Directors of debt management company disqualified for 29 years

Robert Michael Solloway, Mark James Harrison and Richard Ian Mott, were all directors of RMR Financial Services Limited, which traded as Compass Debt Counsellors, a debt management company.

Robert Solloway served as a director throughout, while Mark Harrison and Richard Mott were directors at various times throughout the life of the company.

The company traded from offices in Nottingham and attempted to assist people to get out of debt. Clients made monthly payments to the company for a fee with the expectation that their payments would be made to their creditors.

The company was placed into voluntary liquidation in March 2016 and investigations by the administrator uncovered more than 750 claims from creditors, who had not received their funds.

The Insolvency Service investigated further and established that the company received payments from clients totalling £36.9million with £2.7million returned to clients as refunds or withdrawals from their funds, whilst payments to the client’s creditors totalled £17.4million.

Evidence showed a shortfall of £1.6million in funds available to clients. However, in the absence of significant client documents, estimates are that the shortfall may be much higher. The liquidators received creditor claims totalling £4.4million including £4.2million from clients of the company.

The company also used funds to pay its own expenses, including £3.3million to the benefit of the directors over the entire trading period.

And the company also mismanaged their funds. When the company first started until November 2012, funds and the client funds were held together before they were separated. However, between November 2012 and March 2016, the company failed to operate its segregated client account correctly and transferred any surplus client funds to its company expense account.

As a result of the investigation, Robert Solloway, Mark Harrison and Richard Mott gave disqualification undertakings which were accepted by the Secretary of State for Business, Energy & Industrial Strategy.

Robert Solloway is disqualified for 11 years and cannot be the director of a company until 2 April 2029, while both Richard Mott and James Harrison are disqualified for nine years each.

David Brooks, Chief Investigator, Investigation and Enforcement Services at the Insolvency Service, said:

Clients believed their debts were being managed and funds they provided to the company passed to creditors. The directors’ lack of awareness in how they treated funds going through the company resulted in the losses suffered by clients, some of whom were in vulnerable situations.

These lengthy disqualifications indicate the seriousness of the lack of care the directors showed in running the company.

Notes to editors

RMR Financial Services Limited (CRO No. was incorporated on 29 July 2002 and was based in North West London.

Robert Michael Solloway, date of birth, September 1961, was a director of the company between 29 July 2002 and 30 March 2016, the date the company entered liquidation.

Mark James Harrison, date of birth, February 1961, was a director of the company between 29 July 2002 and 2 April 2003 and again between 14 September 2005 and the date of liquidation.

Richard Ian Mott, date of birth December 1968, was a director of the company between 29 July 2002 and 16 January 2003 and again between 14 September 2005 and the date of liquidation.

The company was placed into voluntary liquidation in March 2016.

A disqualification order has the effect that without specific permission of a court, a person with a disqualification cannot:

  • act as a director of a company
  • take part, directly or indirectly, in the promotion, formation or management of a company or limited liability partnership
  • be a receiver of a company’s property

Disqualification undertakings are the administrative equivalent of a disqualification order but do not involve court proceedings.

Persons subject to a disqualification order are bound by a range of other restrictions.

The Insolvency Service administers the insolvency regime, investigating all compulsory liquidations and individual insolvencies (bankruptcies) through the Official Receiver to establish why they became insolvent. It may also use powers under the Companies Act 1985 to conduct confidential fact-finding investigations into the activities of live limited companies in the UK. In addition, the agency deals with disqualification of directors in corporate failures, assesses and pays statutory entitlement to redundancy payments when an employer cannot or will not pay employees, provides banking and investment services for bankruptcy and liquidation estate funds and advises ministers and other government departments on insolvency law and practice.

Further information about the work of the Insolvency Service, and how to complain about financial misconduct, is available.

Contact Press Office

Media enquiries for this press release – 020 7637 6498

Press Office

The Insolvency Service


4 Abbey Orchard Street
London
SW1P 2HT

This service is for journalists only. For any other queries, please contact the Insolvency Enquiry line on 0300 678 0015.

For all media enquiries outside normal working hours, please contact the Department for Business, Energy and Industrial Strategy Press Office on 020 7215 1000.

You can also follow the Insolvency Service on:

Link: Press release: Directors of debt management company disqualified for 29 years
Source: Gov Press Releases

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Press release: Green light for ultra-fast electric car charging innovation

A new pioneering technology to ensure a next generation of safer, high-powered electric car batteries can be charged by drivers in ultra-fast time is just one of 12 innovation projects to receive the green light from the government’s Faraday Battery Challenge.

The PowerDrive Line project being led by Southampton-based company Ilika is focusing on sold state battery cell development, in particular how to manufacture at scale in the UK and how to build in ultra-fast charging technology of less than 25 minutes for a vehicle as is seen in some current battery systems.

In total £22 million grants are being rewarded to consortia across the UK as part of the latest round of funding through the Faraday Battery Challenge, part of the government’s Industrial Strategy Challenge Fund.

The funding is key to realising the government’s ambitions for innovative energy solutions as set out in our modern Industrial Strategy. The Faraday Battery Challenge brings together world-leading research and business to accelerate the research needed to develop battery technologies.

Other major R&D projects funded include:

  • a revolutionary approach to battery management led by Williams Advanced Engineering
  • a McLaren Automotive led consortium project that aims to accelerate the development of electrified powertrains
  • a revolutionary battery recycling project that will develop the first UK industrial scale capability to reclaim and reuse battery essential metals. This project is being led by Cheshire-based ICoNiChem and involves Jaguar Land Rover
  • an Aston Martin Lagonda project into the development of better performance battery packs.

Business and Energy Secretary Greg Clark said:

Innovative battery technology is changing the way we live, travel and work and the Government is committed to putting Britain at the heart of this energy revolution.

Today’s £22 million investment in world-leading R&D projects is an example of our modern Industrial Strategy in action and will help pioneering companies realise the economic benefits the global transition to a low carbon economy offers.

UK Research and Innovation chief executive Professor Sir Mark Walport said:

Effective, efficient and sustainable transport is key to addressing so many of today’s challenges from industrial growth to social inclusion. Through advanced battery technology, we will unlock a new generation of electric vehicles, further improving vehicle performance and uptake, opening doors to innovative new transport ideas and significantly reducing environmental impacts. Today’s investment shows we are catalysing collaboration between research teams and commercial partners across the UK to make this a reality.

Battery Challenge Director Tony Harper said:

This latest round of cutting-edge research and development projects illustrate the quality of innovations coming from our research and industrial base, and reinforce why the UK is a world-leader in battery technology development.

Link: Press release: Green light for ultra-fast electric car charging innovation
Source: Gov Press Releases

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Press release: A14 Cambridge to Huntingdon: preview of plans for Huntingdon

The 43 year-old viaduct, which carries the existing A14 over the railway line and local roads currently dominates the skyline near the Huntingdon train station. Removing it, and creating link roads to and from the old A14, is an important part of the A14 Cambridge to Huntingdon scheme, which is upgrading 21 miles of the A14 to three lanes in each direction, including a brand new bypass south of Huntingdon.

The plans will enable a major redesign of the Huntingdon train station area. A new public transport hub will be created, with bus stops conveniently located for the railway station. Removing the viaduct will also reduce noise and air pollution and will facilitate further improvements in Huntingdon town centre.

Main construction work is expected to start in 2019.

Chris Bayliss, A14 project manager at Highways England, said:

Work to upgrade the A14 between Cambridge and Huntingdon is progressing well and we are on schedule to open the new road to traffic by the end of 2020.

The Huntingdon viaduct was built in 1975, and removing it will create new opportunities for Huntingdon. Once the new A14 is open to traffic, the old A14 will become a local road. The plans we are sharing today will make it even easier for people to travel around, as well as in and out of, Huntingdon.

We are holding six public events this June and encourage people to come see us for a chat and find out more about these exciting plans!

To find out more about the work in Huntingdon people are invited to come along to one of the events – details can be found on the scheme webpage.

The £1.5bn A14 upgrade will add additional capacity, boost the local and national economy and cut up to 20 minutes off journeys.

The main construction work at Huntingdon will include a new Mill Common link road, the removal of the A14 viaduct and work around the train station, and a new Views Common link road. Preparatory work, such as archaeology and utility diversion, will start ahead of main construction work.

Chance to volunteer on the A14 community archaeology dig this summer

The A14 Cambridge to Huntingdon archaeology team is calling for volunteers to take part in a free summer community dig programme between 24 July and 25 August 2018.

This is a once in a lifetime chance for people to take part in one of the largest archaeological excavation projects ever undertaken in Britain.

Volunteers will work alongside archaeology experts from the A14 archaeology team and its contractors MOLA Headland Infrastructure, exploring evidence of industrial activity relating to the abandoned medieval village of Houghton, near Huntingdon, as well as Iron Age and Roman remains.

Each volunteer must be able to commit to five (not necessarily consecutive) days of excavation from 9am to 4pm.

To apply, email msearle@molaheadland.com before 25 June 2018, stating your preferred days.

For the latest information about the A14 Cambridge to Huntingdon improvement scheme, including job and training opportunities, visit the scheme webpage follow @A14C2H on Twitter and like our Facebook page.

General enquiries

Members of the public should contact the Highways England customer contact centre on 0300 123 5000.

Media enquiries

Journalists should contact the Highways England press office on 0844 693 1448 and use the menu to speak to the most appropriate press officer.

Link: Press release: A14 Cambridge to Huntingdon: preview of plans for Huntingdon
Source: Gov Press Releases