Case details for JOANNE ELIZABETH SHAW

Name: JOANNE ELIZABETH SHAW

Name: SHAWMOTORS WIDNES LIMITED

Date of Birth: 2 / 2 / 1972

Date Order Starts: 11 / 10 / 2018

Disqualification Length: 6 Years 0 Month(s)

CRO Number: 08898331

Last Known Address: ROSE COTTAGE, STATION ROAD, LYDIATE, , LIVERPOOL, L31 4EY

Conduct: Joanne Elizabeth Shaw (Mrs Shaw) allowed Paul Shaw Motors (PSM) to breach the terms of vehicle stocking finance (VSF) agreements with 2 finance companies by failing to ensure it paid over the sums due to repay the VSF following the sale of at least 17 vehicles sold between 1 January 2015 and 12 January 2016, or to hold sale proceeds totalling 134,373 in trust.

  • PSM entered compulsory liquidation on 19 December 2016 with total liabilities of 845,160.
  • PSM held VSF agreements with 2 finance providers (Company A and B) which it used to purchase motor vehicles. The vehicles purchased using VSF and the sale proceeds from each vehicle sold were held on trust by PSM until it had repaid the VSF.
  • Shaw Motors Widnes (SMW) was connected to PSM by the fact that she was a director of both companies. She resigned her directorships in PSM and SMW on 10 May 2016. SMW entered liquidation on 18 July 2016. The available books and records for both PSM and SMW show that both PSM and SMW sold motor vehicles which were obtained under the VSF agreements held by PSM.
  • Company A provided VSF to PSM. The available books and records of PSM and SMW record that 6 vehicles obtained through the VSF agreement, with a VSF value of 37,625, were sold by either PSM or SMW between 07 July 2015 and 01 October 2015, and the sale proceeds (53,509) were not paid over or held in trust by those companies, in breach of PSMs agreement with Company A.
  • Company B provided VSF to PSM. The available books and records of PSM and SMW record that 11 vehicles obtained through the VSF agreement, with a VSF value of 68,119, were sold by either PSM or SMW between 05 August 2015 and 12 January 2016, and the sale proceeds (80,864) were not paid over or held in trust by those companies, in breach of PSMs agreement with Company B.
  • As at 30 December 2015, the date that PSMs bank account was last utilised, the balance on the account was 111,363 overdrawn. 

    This information is correct as at 21 / 9 / 2018


    Name: Paul Philip SHAW

    Name: SHAWMOTORS WIDNES LIMITED AND PAUL SHAW MOTORS LIMITED

    Date of Birth: 28 / 7 / 1971

    Date Order Starts: 9 / 10 / 2018

    Disqualification Length: 10 Years 0 Month(s)

    CRO Number: 08898331 / 05432274

    Last Known Address: Rose Cottage, Station Road, Lydiate, , LIVERPOOL, L31 4EY

    Conduct: Paul Philip Shaw (Mr Shaw) caused or allowed PSM to breach the terms of vehicle stocking finance (VSF) agreements with 2 finance companies by failing pay over the sums due to repay the VSF following the sale of 17 vehicles or hold sale proceed totalling 134,373 in trust. Furthermore, Mr Shaw failed to maintain and/or preserve accounting records for PSM and Shawmotors Widnes Limited (SMW) which are adequate to account for at least a further 16 vehicles which PSM had purchased using VSF totalling 101,597, and following liquidation has failed to deliver up records or provide explanations to adequately account for those vehicles (which could not be located) when required to do so, in that:

  • PSM entered compulsory liquidation on 19 December 2016 with total liabilities of 845,160.
  • PSM held VSF agreements with 2 finance providers (Company A and B) which it used to purchase motor vehicles. The vehicles purchased using VSF and the sale proceeds from each vehicle sold were held on trust by PSM until it had repaid the VSF.
  • SMW was connected to PSM by the fact that Mr Shaw was a director of both companies. SMW entered liquidation on 18 July 2016. The available books and records for both PSM and SMW show that both PSM and SMW sold motor vehicles which were obtained under the VSF agreements held by PSM.
  • Company A has filed a claim in PSMs Liquidation for 104,140, of which 102,080 relates to 16 vehicles for which it has provided VSF to PSM, which was not repaid. At Liquidation, Company A was unable to locate and recover these 16 vehicles.
  • The available books and records of PSM and SMW record that 6 of the 16 vehicles, with a VSF value of 37,625, were sold by either PSM or SMW, and the sale proceeds (53,509) were not paid over or held in trust by those companies, in breach of PSMs agreement with Company A.
  • Company B has filed a claim in PSMs Liquidation for 151,258, of which 105,462 relates to 17 vehicles for which it provided VSF to PSM, which was not repaid. At Liquidation, Creditor B was unable to locate and recover these 17 vehicles.
  • The available books and records of PSM and SMW record that 11 of the 17 vehicles, with a VSF value of 68,119 were sold by either PSM or SMW, and the sale proceeds (80,864) were not paid over or held in trust by those companies, in breach of PSMs agreement with Company B.
  • From the books and records delivered up in respect of PSM and SMW, it has not been possible to account for 10 vehicles with VSF provided by Company A totalling 64,455, and 6 vehicles with VSF provided by Company B, totalling 37,142. If any of those vehicles were sold, it has not been possible to ascertain and verify when the vehicles were sold, who they were sold to, or to account for the sale proceeds.
  • As at 30 December 2015, the date that PSMs bank account was last utilised, the balance on the account was 111,363 overdrawn.
  • At the date of Liquidation, the balance on SMWs bank account was 9,475 in credit.
  • Mr Shaw has failed to provide an explanation for what happened to those vehicles. Shawmotors Widnes Limited Mr Shaw caused or allowed Shawmotors Widnes Limited (SMW) to provide false documents to a vehicle stocking provider (VSP company) in order to obtain vehicles stocking finance totalling 14,175, on 20 April 2016, in respect of three vehicles which SMW did not own title to. The finance remained outstanding at Liquidation on 18 July 2016.
  • The VSP Company provided loans to SMW which were used to purchase motor vehicles that SMW would then seek to sell. SMW was required to provide documents to the VSP Company to prove that there was no third party financial interest in the vehicle before any loan was made.
  • Documents were provided to the VSP Company by SMW in respect of 3 motor vehicles which caused them to provide loans totalling 14,175 to SMW on 20 April 2016 which were due for repayment on the earlier of the date of sale or 19 July 2016. No repayments were made by SMW in respect of those loans.
  • The VSP Company subsequently discovered that the motor vehicles were owned by a third party who had provided them to SMW on a sale or return basis. Consequently these vehicles could not be recovered by the VSP Company and they suffered a loss of 14,175.
  • At liquidation SMW had liabilities of 269,691 of which 189,083 was due to the VSP Company. 

    This information is correct as at 25 / 9 / 2018



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