By using this site, you agree to the Privacy Policy and Terms & Conditions.
Accept
routeonerouteonerouteone
  • News
    • Show all
    • Awards & Events
    • Deliveries
    • Environment
    • Exhibitor News
    • Euro Bus Expo 2024
    • Features
    • Legal
    • Minibus and minicoach
    • Operators
    • Opinion
    • People
    • Suppliers
    • Vehicles
  • Vehicles
    • Find a Vehicle
    • ZEV Comparison Tool
    • Sell a Vehicle
    • Vehicle Seller Dashboard
  • Insights
  • Careers
  • Events
    • British Tourism & Travel Show
    • Euro Bus Expo
    • Innovation Challenge
    • Livery Competition
    • routeone Awards
  • Advertise
  • Contact
    • Share your news
    • Subscribe
    • Update Subscription Details
  • Latest Issue
  • SIGN UP
Search
© 2024 routeone News. All Rights Reserved.
Reading: TC to suspend licence as two firms ran as one entity
Share
Font ResizerAa
routeonerouteone
Font ResizerAa
Search
  • News
    • Show all
    • Awards & Events
    • Deliveries
    • Environment
    • Exhibitor News
    • Euro Bus Expo 2024
    • Features
    • Legal
    • Minibus and minicoach
    • Operators
    • Opinion
    • People
    • Suppliers
    • Vehicles
  • Vehicles
    • Find a Vehicle
    • ZEV Comparison Tool
    • Sell a Vehicle
    • Vehicle Seller Dashboard
  • Insights
  • Careers
  • Events
    • British Tourism & Travel Show
    • Euro Bus Expo
    • Innovation Challenge
    • Livery Competition
    • routeone Awards
  • Advertise
  • Contact
    • Share your news
    • Subscribe
    • Update Subscription Details
  • Latest Issue
  • SIGN UP
Follow US
© 2024 routeone News | Powered by Diversified Business Communications UK Ltd
- Advertisement -
-
routeone > News > TC to suspend licence as two firms ran as one entity
News

TC to suspend licence as two firms ran as one entity

routeone Team
routeone Team
Published: October 22, 2018
Share
SHARE

The 25-vehicle international licence held by Bristol-based Abus is to be suspended on 31 January until such time it has reorganised matters so that the company is the entity actually operating the vehicles and not LC Munden and Sons, trading as Crown Coachways.

The firm had been called before Traffic Commissioner (TC) Kevin Rooney after a Vehicle Examiner reported that the two businesses were co-located, the vehicles were owned and maintained by Mundens and the drivers were employed by Mundens. He had been assisted during his visit by Simon Munden, Director of Mundens, and Mundens’ general manager.

Abus’ sole director, Alan Peters, said that he and Mr Munden had gone to school together and had worked closely all their lives.

Prior to the grant of his licence, all Mundens’ vehicles had been on hire to his former sole trader licence. It was easier for him to show financial standing, so the Mundens licence was surrendered and all work contracted through Abus.

Mundens had PAYE payroll systems in place and it was easy simply to employ drivers through Mundens and then hire them to Abus. Abus paid for Driver CPC training. The arrangement was akin to using Mundens as a driver employment agency.

Disagreeing, the TC said that with a true agency driver, the operator could terminate an individual’s employment at any time. That was not the case here. The company’s action could be frustrated by the need for Mundens to follow a proper disciplinary process. As Abus was Mundens’ only customer, Abus refusing the services of a driver would place Mundens in an impossible position.

Mr Peters said that situation had never arisen.

Mr Munden described a commercial arrangement where Abus paid Mundens a set amount each month. There was then an annual reconciliation based on actual hours worked and maintenance conducted. He added a management fee to the drivers’ hourly rate. Abus owned the vehicles.

The TC said that while Abus had influence over the drivers, it was Mundens who had control. It followed that the vehicles were operated by Mundens, not Abus.

Consequently, Abus had lent its licence authority to an illegal operator. That would normally have serious ramifications for the good repute of the operator and transport manager. However, there was nothing to suggest that the current position was arrived at with any ill intent. It simply evolved over time.

It was clear that the lines at times became blurred between the two businesses. In reality, it ran as a single entity with all parties working together to deliver the service. It was necessary to act to regularise the operation.

Suspending the licence with effect from 0000hrs on 31 January, until such time as the operation was regularised, the TC said that provided that the company was working positively towards restructuring operations to be fully compliant with the law, the suspension date could be varied or the order set aside if restructuring was completed before that date.

TAGGED:BusCoachDiversified CommunicationsMagazineMiniPlusrouteONE
Share This Article
Facebook LinkedIn Threads Email Copy Link
Previous Article ADL to build new Enviro500 fleet for Berlin
Next Article Seven-day suspension for failing to spot defects
- Advertisement -

Latest News

Temsa HD12 and HD13 delivered to Cresta Coaches under Asset Alliance rental deal
Temsa pair join Cresta Coaches on Asset Alliance rental agreement
Deliveries
Go-Ahead London – Managing Director
Careers Jobs
andy burnham tfgm £15.6 billion (1) The funding announced by Chancellor Rachel Reeves today (4 June) has been allocated to several combined mayoral authorities to use on rail, tram, road and bus infrastructure. Transport for Greater Manchester revealed today that part of the £2.5 billion it will receive will go towards making the Bee Network fully battery-electric by 2030. An as-yet undecided portion of that will support a planned investment in 1,000 new zero-emission buses over that period, the mayoral authority said. That is part of plans to build the UK's "first fully integrated, zero-emission public transport system", with trams and trains also set to benefit. Liverpool City Region's already announced BRT system is among the projects to which its £1.6 billion will be allocated. Under those plans - due for realisation by 2028 - a high-speed network will be served by articulated buses which are modelled on the 'Glider' in Belfast. It is due to link Liverpool city centre with John Lennon Airport, and Liverpool FC and Everton FC's respective stadia along three routes. Although the model of bus has not been confirmed, a Van Hool Exqui.City on loan from Belfast was last year used as a demonstrator. That 18m vehicle can accommodate around 30% more passengers than a typical bus and has three sets of double doors. The funding will also go towards buses elsewhere in the city as the region heads towards franchising services by 2027. Liverpool Mayor Steve Rotheram with a 'Glider' which was on loan from Belfast last year - an example of the sort of bus which could serve the new BRT Bus services in the East Midlands region will be boosted by the funding, thanks to the £2 billion handed to it today by the government. Some of that allocation will be used for a rapid transit network on the Trent Arc between Nottingham and Derby. Between the two cities, the Freeport, Infinity Park Investment Zone and Ratcliffe-on-Soar will also benefit from the improved bus services. South Yorkshire Mayoral Combined Authority's newly announced commitment towards bus franchising has been boosted by £350 million in funding as part of that region's allocation. The funding for West Yorkshire will help build new bus stations in Bradford and Wakefield. Likewise, the Tees Valley Mayoral Authority will put its sum towards a new £15 million bus station in Middlesbrough. Transport Secretary Heidi Alexander says: "Today marks a watershed moment on our journey to improving transport across the North and Midlands – opening up access to jobs, growing the economy and driving up quality of life as we deliver our Plan for Change. "For too long, people in the North and Midlands have been locked out of the investment they deserve. With £15.6bn of government investment, we’re giving local leaders the means to drive cities, towns and communities forward, investing in Britain’s renewal so you and your family are better off."
TfGM’s all-electric bus plan boosted by new £15.6 billion package
News
Local Transport Minister opens First Bus electric depot in Hengrove
Local Transport Minister opens First Bus electric depot in Hengrove
Bus
- Advertisement -
-

routeone magazine is the indispensable resource for professional UK coach, bus and minibus operators. The home of vehicle sales and the latest bus and coach job vacancies, routeone connects professional PCV operators with complete and unrivalled news coverage.

  • Terms & Conditions
  • Privacy Policy
  • GDPR Policy
  • Sustainability
  • Advertise
  • Latest Issue
  • Share Your News
routeonerouteone
Follow US
© 2024 routeone News | Powered by Diversified Business Communications UK Ltd