National Express East Coast Franchise — Statement
3:57 pm
Lord Elystan-Morgan (Crossbench)
My Lords, the course of action taken by Her Majesty's Government in this matter has been swift, prudent and practical. However, I raise a fairly narrow legal point. It has been said that the company is currently making an operational profit. It has also been said, of course, that insolvency looms large and will inevitably occur with the decision of the parent group not to give further financial sustenance. In those circumstances, does it not seem rather clear that fraudulent trading, a serious criminal offence under companies legislation, could well occur swiftly? Can the Government therefore give an undertaking that the pro tem successor authority will take over sooner rather than later?