22.05.2006

Quigley

We can now confirm categorically what we already knew, that Quigley United Kingdom Ltd ceased trading on May 12th. The sale of the business and its assets to Quigley UK Lifting Services was concluded on... May 12th.

Many thanks to whomever faxed us a copy of the letter from the official administrators Mathew Colin Bowker and S Payne of Unity Business Services LLP, dated May 16th.

It confirms that Quigley UK Ltd was placed into administration on May 12th 2006. It also shows that the business was then immediately sold to Quigley UK Lifting services Ltd, a company with the same two directors, Shaun and Gary Quigley.

How the information regardin gthe adminsitration did not immediately shjow up in the normal registers and credit check agancies, will be of interest to those who might have liked to have made a bid for the business.

The appointment was made in the Liverpool District Registry and while dated Friday May 12th, the notice of appointment carries a signature dated May 15th.

Vertikal Comment

How this rapid Friday night entry into administration and immediate sale of the assets on to the directors, can possible be in the best interests to the ‘stakeholders’ escapes us.

The administrator’s letters says. “The purpose of the appointment is to achieve a better result for the company’s creditors as a whole than if the company were wound up”

1. The company will be wound up as any parts of it that might have been rescued have been sold on in a private deal to the existing management.

2. How can a quick fire sale to the management possibly be in the best interests of the creditors? A number of crane hirers would have been interested in acquiring this business, if only to prevent, the almost inevitable continuation of low rental rates leading to a further failure at a later date.

3. The Vertikal Press is not a creditor in this case, if we were we would be checking into what action, if any, might be taken against the administrator.

The take over by a third party, would almost certainly have given more to the creditors while providing a better chance of long term employment for the employees involved.

Perhaps the owner of the cranes was party to this deal? As the largest creditor he may well have had the greatest say, and perhaps, just perhaps, that if this company works with the brothers it might succeed and end up being the best bet for the stakeholders.

If this is the case then it would have been nice if this information was made available to the other creditors, instead of the promise of a meeting within 10 weeks and a full report at that time.