A Mosgiel-based freight transport business has been put in liquidation, by shareholder resolution, after the loss of a "significant" contract at short notice.
Trevor and Emma Laing, of Laing Insolvency Specialists, have been appointed joint liquidators of Clough Transport Ltd, whose sole director and shareholder is Malcolm Clough.
In their initial report, the liquidators said the reasons cited included the contract loss, a lack of work and difficulties getting drivers.
They were aware a creditor of the company had begun proceedings in the High Court and they were making further inquiries as to the status of those proceedings.
The company was incorporated in October 2018 and provided freight services on a contract basis.
The director advised the loss of a contract with one month notice had a significant impact on the company’s financial situation.
It had operated in a reduced capacity since that time and ceased trading completely at the date of liquidation.
Initial inquiries indicated company assets consisted of several truck and trailer units which had been used as security; it was not clear if there was any equity available in those vehicles.
Company records showed an amount due to the company relating to a lease-to-buy agreement and the liquidators would investigate the collectability of that amount.
There were five registrations recorded on the Personal Property and Securities Register, the liquidators had been advised the company had Inland Revenue Department liabilities, and they were aware of 14 unsecured creditors.
A further report or final report would be prepared and distributed in the next six months.
