13.01.2009

More on PSS

Dozens of you are still sending us information on PSS the UK crane and access company, part of which is due to go into liquidation this week.

Most of the input is too hot to publish, and is only corroborated by the sheer volume of input all saying the same sort of thing.

Lee Rowe, the chief executive of PSS, spoke to us following his recent return from three weeks in Florida and the Carribean, and sounding very credible, told us that he had been advised to close down one of his two companies in order to save administration and reporting charges, given the current economic climate.

Rather than close the dormant PSS(LT) he closed PSS (Lifting) which accodirng to Companies House has been the trading company. The 2006/2007 accounts show a negative working capital of £175,000.

Rowe explained that in reality PSS(LT) has been the trading company for the past 18 months but that this is not yet showing up at Companies House due to the fact that the 2007/2008 accounts for the two companies were only filed two months ago and the switch over has therefore not yet been posted.

Ignoring the fact that Companies House usually takes just a week or two to post such data, what it would mean is that there should be no trade creditors for PSS(Lifting).

Rowe maintains that all the 'creditors' who are complaining are suppliers who have invoiced the wrong company in error, having been told repeatedly over the past 18 months that (LT) was now the trading company.

In which case any of you out there that have been caught by the bankruptcy, should raise new invoices on PSS (LT) Ltd and if Rowe is true to his word….. you will be paid.

This does not apply to the Inland Revenue though, which according to Rowe is owed around £8,000 in back corporation tax, but according to him they are “quite relaxed about it”.

The meeting to appoint the liquidator will be held at 10:00 am on Friday 16th January in Bolton.

Numerous crane hire companies contacted us to say that their dealings with the Rowes have not been straightforward and ended up in dispute, in whcih case the pool of crane hire suppliers must be dwindling.

For the record PSS was founded in 2006 following the bankruptcy of the Rowe’s previous business Prime Serve Solutions and more recently Prime Serve Solutions (UK) – the practice of setting up two companies with similar names appears to be a regular tactic of the Rowes.

The company has traditionally used John Alan Beaumont, who also traded as Beaumont & Co, as its accountant. Beaumont has a two year order against him, for defrauding the Inland Revenue of PAYE funds and VAT even while under an Individual Voluntary Arrangement (IVA).

The liquidator says that until the meeting on Friday appoints them PSS(Lifting) is technically able to trade and is not in administration, although if it did in fact run up any debts during this period it would come out in itspost liquidation report and referred to the DTI.

Click here to see Liquidator appointed
Click here to read 'further warnings on PSS

Vertikal Comment

We have been shocked by tone and volume of the responses we have received on this subject, which are not only limited to sharp commercial practices. Lee Rowe is very persuasive though, the key test will be the response that creditors get when they invoice PSS (LT) for any products or services that they have supplied over the past 18 months.

This will be a clear test of his sincerity, he categorically told us that:
a) The Inland Revenue was the only creditor of PSS (lifting) and
b) That the other creditor companies complaining about being caught with the liquidation had simply invoiced the wrong company, as all trading over the past 18 months has been done through PSS (LT).

I am a great believer in the adage “what goes around comes around” and that sharp practices will catch up with you in the end. No matter what Lee Rowe says, a web of different companies with similar names, which from time to time are placed into liquidation is not straight dealing by most people’s measure.

Particularly when the principles continue to build their wealth at a steady pace while all this goes on. Hopefully Rowe is true to his word and all ‘creditors’ are paid out in full and PSS (LT) goes onto prosper through straight trading.

What’s that I see? some large pink animals with wings