JD Classics, what have they been up to?
Discussion
Livia1 said:
I have it on good authority that the position is this.
Following a failed attempt to sell JDC the company has entered administration which is a legal limbo land and has the effect of putting all legal process on hold. It can apparently maintain this state for a year while the administrators try and sort out the mess, sell some of its assets etc. However it is often a precursor to winding up the company, selling off the assets cheaply and probably the name to a different company which then carries on trading leaving the unsecured debts behind without the general public realising what has happened. This is known in the trade I gather as a " Prepack ". The showrooms have been closed by the banks.
So far as Hood is concerned all the claims against him are live and being actively pursued. He is not affected by the fate of the company except that Charme will want their money back, and the Company itself may sue him for breaches of directors duties.
Mr Tuke's claims against Mr Hood are said to exceed £40 million. No doubt settlement talks are being held!
Forty million pounds. Absolutely staggering - does anyone know how the nine million pounds mooted originally has ended up at forty?Following a failed attempt to sell JDC the company has entered administration which is a legal limbo land and has the effect of putting all legal process on hold. It can apparently maintain this state for a year while the administrators try and sort out the mess, sell some of its assets etc. However it is often a precursor to winding up the company, selling off the assets cheaply and probably the name to a different company which then carries on trading leaving the unsecured debts behind without the general public realising what has happened. This is known in the trade I gather as a " Prepack ". The showrooms have been closed by the banks.
So far as Hood is concerned all the claims against him are live and being actively pursued. He is not affected by the fate of the company except that Charme will want their money back, and the Company itself may sue him for breaches of directors duties.
Mr Tuke's claims against Mr Hood are said to exceed £40 million. No doubt settlement talks are being held!
Willhire89 said:
If they've got 39 more to sell they'll be fine 
Willhire89 said:
Wonder if that’s one of the Tuke cars started it all........Julian Thompson said:
Got it. Thanks. So with pending cases do JD have to reserve any of their assets to cover potential litigation or are they allowed to liquidate everything and say "sorry guys we don't have any money" if they lose?
In general that won’t be likely to work although I know people have tried it on occasion.Key will be what assets there actually are.
Doofus said:
It will still be active, because it's in administration.
I realise it takes time to update at Companies house, but still status will change to ‘in administration’ All this make the guy’s move from Lotus even more curious......
And I feel for the people on the shopfloor, who have done nothing but carry out great work - always the way
Willhire89 said:
I hear from an impeccable source that the car started life as a Mk1 Cortina.Willhire89 said:
It's going to help Bonhams bank balance too!If my maths is right, £1,050,000 hammer price, £141,000 buyers premium - plus £28,200 VAT...
mph said:
Willhire89 said:
I hear from an impeccable source that the car started life as a Mk1 Cortina.lowdrag said:
Guards are at the premises and owners seeking to recover their cars are not being allowed in. One collector went last week to recover three of his and was refused entry.
I'm not being critical but what took them so long. Under no circumstances can anyone sell a car without clear title. Hopefully it's just a matter of the Administrators working out what cars belong to other people which is fair enough.silentbrown said:
lowdrag said:
Guards are at the premises and owners seeking to recover their cars are not being allowed in. One collector went last week to recover three of his and was refused entry.
Blimey. Vehicles being restored, or sale-or-return?If it were just Mr Tuke (an 8M claim) then they would have coughed up and kept it quiet. Clearly it's the tip of the iceberg. Like a phoenix 'DJ cars emerges'
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