NAB REPRESENTS DRIVE ASSIST BODYSHOP CREDITORS

Published 21/10/2014 00:00:00 in Press Releases

The National Association of Bodyshops (NAB), has been nominated by some of the UK’s leading body repair specialists to represent them in a Creditors’ Committee looking into the conduct of directors of failed accident management company, Drive Assist.

When Drive Assist, once one of Britain’s leading non-fault accident vehicle replacement companies, collapsed in December 2012 with debts of more than £82 million, 150 bodyshops were left with more than £7m in unpaid repair bills.

Frank Harvey, Head of NAB commented, “The NAB has agreed to represent any bodyshop creditor of Drive Assist in the committee being set up by the administrator, Zolfo Cooper. There’s no charge for our unconditional support and it has been made available regardless of whether the affected bodyshop is a member of the association. 

“It is important that bodyshop interests are vigorously supported and that lessons are learnt for the future.”

NAB had previously taken legal advice on behalf of members affected by the Drive Assist collapse to try to recover outstanding monies but were advised that debts were unsecured and that settlement of outstanding invoices would be unlikely.

Harvey added, “The focus is now on the conduct of directors and, in particular, promises that were made to repairers concerning the ring fencing of funds paid to Drive Assist by insurers for vehicle repair work.

“We will communicate the outcomes of the Creditors’ Committee meetings promptly, and widely and will also use this experience to influence the conduct and behaviour of intermediaries involved in our industry going forward.”

The first meeting of the Drive Assist Creditors Committee is being held at the Birmingham offices of Zolfo Cooper on Wednesday 22 October 2014.

 

ENDS

NOTES TO EDITORS

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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