Fortec Pallet Distribution Network member Jensa (Distribution) has ceased trading following the appointment of joint administrators from corporate restructuring and insolvency specialist MCR on 6 July. A spokeswoman for MCR tells Motor Transport: "All staff were made redundant on our appointment, and Jensa (Distribution) is not continuing to trade."
The Bedford-based firm, established in 1975, is now answering its phones as JDL.
Companies House records show that a JDL Logistics was incorporated on 25 June 2009 and is registered to a Bedford address. The new firm lists a Lesley O'Neill as the company director. Lesley O'Neill was formerly the company secretary of Jensa (Distribution).
In a statement to MT, Fortec says: "Jensa's payments have always been on time, and we have never had any issue in all the years they have been with the network. They have never given us cause for concern.
"We were only recently aware the company had appointed an administrator, and we can only sympathise with Jensa, since their problems were a direct consequence of the current economic downturn, which is obviously affecting many transport companies. A new company, JDL Logistics, has joined the Fortec network and we wish them every success in the future."
As MT went to press, VOSA confirmed that no O-licence details exist for JDL Logistics, nor had it received any licence application from JDL Logistics. A statement from JDL informs MT that it is "in the process of applying for an O-licence, and in the meantime is subcontracting its work".
In a letter seen by MT, which was sent to fellow Fortec members, it says: "JDL Logistics has been launched and is now operational as a licensee for Fortec. Some ex-employees of Jensa (Distribution) who were made redundant by the administrators have taken up positions with JDL Logistics."
The letter gave some insight into what caused Jensa's demise. "Jensa moved to a new warehouse two years ago and, unfortunately, the economic situation resulted in many of their clients losing business (up to 35%). Also, Jensa was unable to fund the increased overheads of the new warehouse under the current economic climate."
MT was unable to confirm whether Fortec was aware of the subcontracting arrangement as we went to press.