The Big Five firm is the receiver for Midlands car parts supplier UPF and has been attempting to force Land Rover into making an upfront payment of £45m for UPF to deliver chassis for the company’s Discovery model – a request it has furiously rejected.
David Buchler, vice-president of R3 claims KPMG is simply maximising returns for creditors while Ford – Land Rover’s owner – is reaping the rewards of being able to ‘aggressively manipulate their relationships with component or service providers’.
According to Buchler the aggressive action of Land Rover is part of a trend that is ‘damaging’ for the rescue prospects of British businesses.
Casting doubt on Land Rover’s claims of being a ‘victim’ in the debacle, Buchler said: ‘It is undoubtedly true that insolvency practitioners in these circumstances will negotiate as aggressively as they can. It is less often true that the customer is the victim in these circumstances.’
A spokesman for KPMG commented that it feels its actions are justified. A Land Rover spokesman said: ‘Land Rover is not connected with UPF’s failure. We’ve been an excellent customer.’
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies
Smith & Williamson has been appointed administrators of charity 4Children