HC Deb 12 March 1987 vol 112 cc276-7W
Mr. Robin Cook

asked the Secretary of State for Trade and Industry when his Department's inquiry into the affairs of City investment centres of the Ravendale Group was initiated.

Mr. Howard

An officer was authorised on 28 July 1986, under section 447 of the Companies Act 1985, to examine the books and records of City Investment Centres Ltd.

Mr. Robin Cook

asked the Secretary of State for Trade and Industry on what date the licence of the Ravendale Group was last renewed; by what criteria its application was assessed; and whether there were any objections.

Mr. Howard

Ravendale Group was a holding company which did not need a licence and never held one. Several companies belongings to the Ravendale Group or associated with it held licences at various times. The dates upon which new licences were last granted and the companies in question were as follows:

  • 5 November 1985: City Investment Centres Ltd.
  • 11 December 1985: London Venture Capital Market Ltd.
  • 5 November 1985: Ravendale Market Makers Ltd.

If an application is complete and properly made, the Prevention of Fraud (Investments) Act requires a licence to be granted unless the applicant appears not to be fit and proper. Applications do not have to be advertised so there is no formal opportunity to object, but account is, of course, taken of any complaints received.

Mr. Robin Cook

asked the Secretary of State for Trade and Industry what progress has been made in the current inquiry into the Ravendale Group; when he expects inquiries to be concluded; and at what stage he will decide whether to refer any papers to the Director of Public Prosecutions.

Mr. Howard

My Department's inquiries under the provisions of section 447 of the Companies Act 1985 have been concluded, but four companies comprised in the Ravendale Group are in liquidation and the inquiries being made by the liquidators and the Official Receiver have not yet been completed. These inquiries, which are now concentrated on the affairs of City Investment Centres Limited, have been hampered by the absence abroad of the person who was chiefly responsible for the management of the companies, but I understand they are well advanced. However, I cannot yet say whether or when any papers will be referred to the. Director of Public Prosecutions.