Case No. CR-2019-LDS-000669

150,000239.John and Lisa were directors of each of the companies. John was the managing director.240.JLD Metals was incorporated in December 1980 to operate a non-ferrous metal reclamation business in Wath-upon-Dearne, Rotherham. By the time of the administrative receivership it operated from premises at Hobson Industrial Estate, Burnopfield, Newcastle-upon-Tyne, owned by its parent company.241.The business operated by JLD Metals was substantial. Audited accounts for the 17 months ended 30 June 1991 showed a turnover of over £31 million with a net profit, after tax, of £319,000. Management accounts incorporating the results of JLD Holdings showed a turnover of over £19.6 million a gross profit of over £1.1 million but a net loss, after, among other things, overheads and tax, of £449,000.242.The report to the meeting of creditors of JLD metals contained the following under the heading “Receivership strategy”:“2.1 Immediately following our appointment we conducted an investigation into the business to establish whether it was feasible to allow the company to trade for a limited period. We decided that it would be possible to trade the business profitably and thereby achieve a sale of the business as a going concern, which would ensure maximum possible realisations.We also discovered that the majority of the company’s finished goods stock had been removed from the company’s premises during the morning prior to our appointment. However, following extensive negotiations and injunctive proceedings, the entire stock that had been removed was returned and subsequently realised at trade prices.”243.Lisa’s case is that it was John who removed the stock, that he did so wrongfully and that I should take this into account, as demonstrating a propensity to act in this way, when considering her allegation that stock was wrongfully removed and/or otherwise wrongfully excluded from the sale by the administrators to Remit Processing in this case and/or her allegation that, well before the administrations in this case, stock was removed and sold without any accounting to the Companies for the proceeds of sale.244.I am unable to draw any of the inferences that Lisa invites me to make in this respect. I have no idea who was responsible for the removal of the stock in the case of JLD Metals, nor the precise circumstances in which the removal and then return took place. I have no details of the “extensive negotiations” nor what they were about. Accordingly, I leave this matter out of account in considering the allegations of improper dealings in relation to stock of the Companies.245.According to David, he and John each owned half of a company called Prontex Limited. They worked together in that company sometime prior to 2002. Prontex Limited was wound up in 2001. 246.In his witness statement, David asserted, of John:“He was stealing from that company back then, he would pay cash and do false weighbridge tickets. That’s why Prontex failed and why I left.”247.This is relied upon by Lisa as showing a propensity on the part of John. I am not able to accept such a general assertion, with no corroborative material and accordingly am not satisfied that this allegation by David is true. I leave this alleged matter out of account.