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Livestock incineration plant ‘in administration’

25 September 2008

Hauliers across the country subcontracted to collect and dispose of livestock as part of a government contract could be forced out of business because a major Somerset incineration plant has gone into administration.

A meeting is now being arranged for next week by hauliers working for Wessex Incineration to vent their frustration at being left in the lurch after administrators were called into the Frome-based business last  Tuesday.

Rob Green, chairman of the Licensed Animal Slaughterers and Salvage Association (LASSA), says he is aware of at least eight members that are owed around £500,000 in total after the company went to the wall. He says: "Most of them are small operations 30, 40 or 50 grand could see them out of business."

Wessex Incineration had a contract to collect, sample and dispose of 'fallen stock' across the country. It subcontracted a lot of the work out to haulage companies running between one and 12 lorries.

When Commercial Motor contacted Wessex's managing director, Chris Payne, he said the business was in receivership but would not comment on what had happened or whether creditors would receive their money. He added: "I guess we wait for the receivers to sell the business."

However Green warns there may be very little of the business worth selling: "It had three months left of a government  contract. What [Payne's] assets are I don't know, but that would be all the business is worth. [Payne] will owe the banks, Inland Revenue, Customs and Excise. I would be pleasantly surprised if there's anything left."

A spokeswoman for the Rural Payments Agency (RPA) says: "Whilst RPA has every sympathy for the hauliers involved, hauliers who collect fallen stock do not work directly for RPA but for the company under a subcontracting arrangement. RPA has received a number of payment queries from hauliers and these have been passed on to the administrator for consideration."


Chris Tindall
Email at news@roadtransport.com
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