CABOUCHON (No. 2)

Early day motion 1277, tabled 30 April 1998 by Lord Campbell-Savours (Labour). Signed by 1 member.

That this House notes the recent appointment of receivers for Brentford-based Cabouchon Ltd. and the almost simultaneous setting up of Cabouchon International Ltd., both companies selling costume jewellery through a direct sales network; believes that these developments constitute a classic phoenix operation where shareholders win and creditors lose; notes that Cabouchon Ltd. was set up and wholly owned by Ms Petra Doring who is also involved in Cabouchon International Ltd.; notes that on 4th March 1998 Cabouchon Ltd. was placed in receivership; notes that the receiver reportedly found that Cabouchon Ltd. had been stripped of its assets, and that ú3 million of stock had been sold to another company called Obligo; questions whether that transaction was at proper value; notes Obligo was registered in Monaco in September 1997 and started trading in February 1998; questions the relationship between Cabouchon International Ltd. and Obligo; asks whether Brentford-based Zepter International (UK) Ltd. is in any way connected to Obligo in Monaco; calls for a DTI inquiry under section 432 of the Companies Act 1985 into the price paid for stocks transferred to Obligo and into the transactions that appear to have defrauded creditors; and notes that following transactions arranged by Petra Doring the assets, distribution network, trademark and possible substantial stocks of Cabouchon jewellery have been transferred from a broken backed company into a new potentially healthy trading operation trading under the nameof Cabouchon, owned by Cabouchon International Ltd., controlled by Petra Doring and leaving behind a number of angry creditors.

Signatures by party: Labour 1.