Firm disputes council debt

Press, 31 August 1977, Page 6

Firm disputes council debt

A waste-disposal firm,! Binmasta Disposals. Ltd, disputes the amount claimed by] [the Paparua County Council: 'for dumping in its pit and! .says there is no justification for prohibiting further tipI Ping- ■ Councillors were told at a meeting of the council’s finance committee on Monday that the company owed the icouncil $21,066. and decided that further tipping would not be.allowed until the arrears had been paid and further tipping prepaid. The compay’s managing director (Mr A. M. Rhodes) said yesterday that the amount owing was disputed because of “certain undertakings given by the council” in March relating to the fees for dumping. These were al-1 ready the subject of litiga-j [tion in the Supreme Court.; [“The council is well aware [ 'that the company is able to I pay the debt in full when;

[the amount of it is agreed.” he said. I “We can therefore see no [reason for the council tak- [ ing further action against ,1 Binmasta Disposals at this stage, because proceedings of various kinds are taking place already,” he said. “This latest action can only be regarded as pure victimisation of the company and its associated companies. There appears to be no justification for a prohibition of tipping to be made against such companies as A. M. Rhodes, Ltd. which owe the council ; nothing.” The company, and its legal adviser, thought the prohibition against tipping; was wrongful- because ’ it “might have a bearing” on ; the alternative sites it chose ■|to use, he said. • “There is no question of [the company being unable , .v pay its debts to the couuijcil or anybody else,” said Mr Rhodes.