HC Deb 14 October 1996 vol 282 cc671-2W
Mr. Gapes

To ask the President of the Board of Trade what examination his inspectors have made of liquidators' reports on Finance Ltd. and Sasea Intertrade; what action his Department(a) has taken and (b) proposes to take as a result; and if he will make a statement [40169]

Mr. John M. Taylor

Sasea Finance Ltd. went into liquidation on 14 October 1992. The joint liquidators Messrs D. J. Pallen and S. G. Franklin lodged their report under the Company Directors Disqualification Act 1986—CDDA—on 5 May 1994. The liquidators reported that the company's accounting records were maintained abroad and had been impounded by the Swiss authorities for the purpose of other inquiries. All the directors were foreign nationals resident abroad.

Sasea Intertrade Company Ltd. went into liquidation on 16 June 1994. Mr. Pallen was again appointed liquidator and he reported under the CDDA on 15 September 1994. Again the company's directors were all foreign nationals resident abroad and the company's records remained impounded by the Swiss authorities for other inquiries.

The reports were considered by the Department's disqualification unit, but in the absence of the companies' directors and of the companies' records the unit was not in a position further to investigate the conduct of the directors or able to form a view as to whether disqualification proceedings were appropriate in the public interest. As a result, no proceedings were instigated.

Mr. Gapes

To ask the President of the Board of Trade what records have been examined by inspectors of his Department relating to the movement of the assets of Sasea Finance Ltd. and Sasea Intertrade immediately prior to their liquidation; what action his Department proposes to take as a result of its examination; and if he will make a statement. [40168]

Mr. Taylor

It is not my Department's policy to comment on individual companies.

Mr. Gapes

To ask the President of the Board of Trade what claims and of what amounts were made by(a) Sasea Finance Ltd. and (b) Sasea Intertrade from the Export Credits Guarantee Department between 1985 and 1991. [40167]

Mr. Nelson

None. The ECGD has no record of having issued a guarantee to either Sasea Finance Ltd. or Sasea Intertrade 1985 and 1991.

Mr. Gapes

To ask the President of the Board of Trade what claims and of what amounts were made by companies associated with directors of(a) Sasea Finance Ltd. and (b) Sasea Intertrade from the Export Credits Guarantee Department between 1985 and 1991. [40166]

Mr. Nelson

None. ECGD has no record of having issued a guarantee to any company associated with the directors of Sasea Finance Ltd. or Sasea Intertrade between 1985 and 1991.

Mr. Grapes

To ask the President of the Board of Trade what was the total deficiency at(a) Sasea Finance Ltd. and (b) Sasea Intertrade reported to his Department by the liquidators; and if he will list the principle creditors for each company. [40165]

Mr Taylor

Detailed statements of affairs of the companies were not submitted by the directors but the liquidators estimate that the total deficiency of Sasea Finance Ltd. was £184.9 million.

The main liabilities were to Sasea Holding and connected companies £70.7 million; trade and expense creditors £109 million and shareholders £5 million.

The estimated total deficiency of Sasea Intertrade Company Ltd. was £93.04 million. The main liabilities were to Sasea Holding £34.95 million, Sasea Trading Ltd. £45.86 million, non-group creditors £10.23 million and shareholders £2 million.