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Licence abuse included hire of cheap Romanian drivers

06 August 2007

An operator who specified other people's vehicles on his O-licence has lost his appeal against revocation after the Transport Tribunal ruled that the firm was not a "genuine haulage contractor". His use of low-paid Romanian drivers was "uncompetitive behaviour".

Northampton-based Florian Ciornei, trading as Lorex, held an international licence for five vehicles and five trailers. His licence was revoked by the then Eastern TC Geoffrey Simms and he was disqualified from holding or obtaining  an O-licence for three years.

The TC made the revocation and disqualification orders after hearing that Ciornei had specified other people's vehicles on his O-licence. The transport manager was Ioan Don Todor. Two of the three vehicles specified were hired from Northampton Freight Services, Todor's company. Todor or his company paid the insurance for those two vehicles. All three vehicles were driven by self-employed drivers who were paid in cash. Co Durham-based haulier Keith Wilson was maintaining the vehicles and Ciornei and Todor acted as his subcontractors.

The TC said a hire agreement between Northampton Freight Services, which did not hold a licence, and Ciornei recorded that one vehicle was hired for a monthly rental of £400. There was no mention of a second vehicle. He was not persuaded that it constituted a valid commercial contract. He could not accept that the bone fide hire of a goods vehicle could be obtained for £100 a week. There was little to link  Ciornei with the licence or indeed the operation of goods vehicles at all.

The Transport Tribunal said there was little by way of documentary evidence to show that Ciornei was a genuine haulage contractor. This was a case of manipulation of the regulatory system in order to allow another operator to benefit from Ciornei's licence. He considered the use of self-employed Romanian drivers at a weekly rate of £200 to £250 to be uncompetitive behaviour. Ciornei had shown himself to be unable or incapable of running a compliant haulage operation.


SUMMARY: REPUTE WAS LOST

The Tribunal considered that once the TC determined that Ciornei was allowing his licence to be used by another operator his good repute was lost.





Mike Jewell
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