A freight company that helped transport items around the world has wound up in court for failing to deliver goods after taking payment from customers.
Freight Forwardings Ltd was wound up in the public interest in the High Court on 12 January 2021 before Judge Prentis. The Official Receiver has been appointed liquidator of the company.
During the proceedings, the court heard that Freight Forwardings Ltd arranged the transportation of goods, mainly vehicles, around the world by using other freight companies. It took advance fees from customers with the promise of passing on funds to shipping firms and customs offices as required.
Freight Forwardings Ltd came to the attention of the Insolvency Service after it received complaints from customers that funds had not been properly distributed as agreed. Customers had also contacted the police.
Investigators conducted confidential enquiries and discovered that the company failed to arrange delivery of goods they were entrusted with. In other cases, customers were also forced to pay sums direct to shipping firms to recover their possessions and often these possessions were lost entirely.
The court wound up the company on the grounds of its lack of transparency, its failure to file correct statutory documents, its failure to maintain, preserve or make available company records and it traded with a lack of commercial probity.
Lynda Copson, Chief Investigator for the Insolvency Service, said: “Freight Forwardings Ltd took funds from its customers who believed and trusted that it would provide a first class one-stop shop enabling them to deliver valuable possessions to other countries. Instead, the company failed to provide the promised service, often leaving customers out of pocket or out of the possessions they had entrusted with the company. We have worked quickly to wind up this company in the public interest to stop anyone else falling victim to their poor practices.”