Legal News

Engine reconditioning company wound up after customer complaints – and failing to explain large cash receipts (29 April 2016)

Date: 29/04/2016  |  

Total Comments: ()  |  Add Comments

Duncan Lewis, Crime Solicitors, Engine reconditioning company wound up after customer complaints – and failing to explain large cash receipts

An engine reconditioning company has been wound up following an investigation by the Insolvency Agency and after the court found the company was taking money up front from members of the public for engine work, which was either not being carried out or was “hopelessly defective”.

The Insolvency Agency traced the company back through a number of previous businesses to the 1990s, with Exchange Engines Limited being the latest company in a series of companies operating the same business.

The Official Receiver has been appointed Liquidator of the company by the High Court.

Exchange Engines Limited was incorporated on 10 December 2014 with its registered office at 347 Widney Road, Bentley Heath in Solihull, West Midlands. The company was previously at an address in Broomfield Road, Chelmsford in Essex.

The director of Exchange Engines Limited was Antony David Baylis.

The winding up of the company follows on from the successful closure of 1st Choice Engines Limited, Unique Engines Limited and Reconditioned Engines Limited in January 2015, following similar investigations.

Between March and August 2015, Trading Standards received more than 100 complaints about the company.

The investigation further found the company failed to maintain adequate accounting records to explain large cash receipts.

Thames Valley Police arrested four individuals involved in the operation of both 1st Choice Engines Limited and Exchange Engines Limited and charged them with fraud and money laundering offences relating to both companies.

All four are due in court in January 2017.

Commenting on the winding up of the three companies, a chief investigator with the Insolvency Service, David Hill, said:

“The company operated to draw in and then rip off customers.

“Closing down this company should leave no doubt that the Insolvency Service will continue to take enforcement action whenever serious failings are discovered – and in particular against companies that prey on customers.”

The petition to wind up Exchange Engines Limited was presented in the High Court on 27 January 2016 and the company placed into Compulsory Liquidation on 23 March 2016.

The petition was presented under the provisions of Section 124A of the Insolvency Act 1986.

Duncan Lewis Business Crime Solicitors

Duncan Lewis business crime solicitors can advise even before business crime charges are brought, including charges relating to company fraud, financial fraud, money laundering, breaching conditions of disqualification, tax and VAT evasion, embezzlement, false accounting, phantom companies, failing to deliver up records to the Liquidator, white collar crime and IT crime/hacking.

There are Duncan Lewis offices nationwide and a specialist business crime solicitor can attend interviews and negotiate with the Insolvency Service, BIS, HMRC, SFO, FCA, and City of London Police.

Duncan Lewis offers competitively priced fixed fees whenever possible.

For expert legal advice on business crime, call Duncan Lewis business crime solicitors on 0333 772 0409.

For 24/7 help at a police station, call the Duncan Lewis 24-Hour Emergency Helpline on 0333 772 0607.