TCs should be tougher on pre-packs and CVAs, Trucking Britain reveals

Results from March’s Trucking Britain survey have revealed that many hauliers believe the traffic commissioners (TCs) should take a tougher stance on companies that complete a pre-pack administration or company voluntary arrangement (CVA).
 
“If pre-pack or post-CVA businesses are allowed to continue, they should be subject to frequent visits and if necessary, operator licences should be curtailed to ensure these businesses can continue to operate fleets safely,” one respondent said.

Another operator believes the firms should not be granted an O-licence at all: “If you have to restructure your debt to the point of being unable to pay the full amount due, you should not meet the criteria to hold an operator’s licence.”


In contrast to this, many respondents said that the rescued company should be given another chance.


One respondent said: “I would love to say that a pre-pack company should not receive an O-licence, but while it is legal, I do not think the traffic commissioner can legitimately take a different view.”

Another agreed, saying that TCs should treat post-CVA and pre-pack firms  “with an open mind to the facts surrounding the company in question. Everyone has the right to apply for an O-licence and each applicant should be treated fairly and without prejudice.”
SOURCE: www.commericalmotor.com

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