Lilley Group Collapse

EDM number 1328 in 1992-93, proposed by Michael Connarty on 04/02/1993.

That this House is growing increasingly concerned at the revelations of details of events leading up to the collapse of Lilley Group plc, particularly the manner in which adjustments were made to the accounts by writing down the value of works in progress, speculative buildings were sold into the company's pension fund when no other buyer could be found, the forced sale and lease-back of buildings owned by subsidiaries, the flow of funds to pay sub-contractors was held up and profitable subsidiaries were sucked dry of funds to prop up the failing property development section of the company, resulting in a deterioration of ú76 million in the company's balance sheet from a ú47 million published profit in 1991 to a deficit of ú29 million in 1992; and supports the call of the creditors and the hard-working sub-contractors; who have been so seriously damaged by the manner of the Lilley Group plc. collapse, for a full and independent Department of Trade and Industry inquiry into the affair.

This motion has been signed by a total of 65 MPs.