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CONVICTED CRANE COMPANY IN ADMINISTRATION

New company rises from the ashes of tower crane fatality firm

Crane website Vertikal.net has reported that tower crane rental company WD Bennett Plant and Services Ltd is now in administration.

The company was convicted of health and safety offences after a recent trial arising from the Worthing crane collapse in 2005. The collapse caused the death of two workmen and the company is currently awaiting sentence for the offence.

It is reported that a director of the company has formed a new company (Bennetts Cranes Ltd) and purchased 18 cranes from the Administrator, along with the debtors and goodwill. A further 24 cranes are said to have been purchased and the new company will continue the business in the same premises with the same staff.

Comment: The Vertikal.net report suggests that a company awaiting sentence for a serious health and safety offence can still enter administration thereby affecting the ability of the courts to impose an appropriate penalty. The Insolvency service states that “Setting up a ‘Phoenix Company’– to carry on the same or similar business of an earlier company which has “gone bust” – is not wrong in itself although if a company has gone into liquidation there are restrictions on the re-use of its name.” Some readers may feel the law in this area needs revisiting.

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2 Responses to “CONVICTED CRANE COMPANY IN ADMINISTRATION”

  1. CRANE DOUBLE FATALITY PROSECUTION | PP Construction Safety News Desk Says:

    […] been four times higher had the firm not ceased operations since the accident. A second company WD Bennett Plant and Services Ltd was not represented in court and the case was […]

  2. CRANE FIRM CAUSED DOUBLE FATALITY | PP Construction Safety News Desk Says:

    […] has been reported that WD Bennett Plant Services Ltd is in administration which must raise doubt that the financial […]