The assets and business of Palletline Logistics (Midlands) were bought for £71,000 in a pre-pack deal in July by newly formed Global Logistics Central on the same day the former went into administration, according to administrator RSM Tenon.
Palletline Logistics (Midlands), established in 1993 by former RHA national chairman and Palletline [network] co-founder Bob Russett, was forced into administration on 17 July after HMRC called in debts owed via a company voluntary arrangement (CVA) in place since May 2012.
Global Logistics Central, a sister firm of Palletline member Global Logistics (UK), was incorporated in April. Husband and wife Paul and Paula Welsh are directors of both. Paul is also a non-executive director of the Palletline network.
The Palletline postcode covered by Palletline Logistics (Midlands) was split between Taskforce Movement and Storage, Panic Transport, and Global Logistics Central.
The new firm, which has applied for an O-licence, made Palletline membership a conditional part of its bid.
Palletline MD Kevin Buchanan said it was happy to approve this as the firm met the criteria for membership: “We have no issues with it.”
Paul Welsh could not be reached for comment.
