Are pubcos doing enough to stamp out rogue firms?

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Pub companies have refuted accusations that they are failing to stamp out rogue recruitment and placement companies. Following news that Inn-Direct,...

Pub companies have refuted accusations that they are failing to stamp out rogue recruitment and placement companies.

Following news that Inn-Direct, the company at the centre of the recent cash for pubs scandal, was wound-up by the Department for Trade and Industry (DTI) at the request of The Publican, more disturbing revelations are emerging.

Inn-Direct advertised in the national press offering training and pub placement for a fee. Many who were promised pubs received inferior in-house training, no offers of pubs and those who were placed found themselves in a tenancy-at-will with no job security.

Several of the licensees who have contacted The Publican but wish to remain anonymous say they are running pubs which are owned by some of the reputable major pub companies.

Enterprise Inns' pub the Board Inn in Knaresborough, North Yorkshire, was used by rogue recruitment pubco Greyfriars Taverns as early as 2003 to con would-be publicans.

Inn-Direct, which was wound-up by the DTI at the end of July, had its registered office as the Board Inn until June 28, 2005.

But Enterprise says the lessees at the Board Inn have assured it that no rogue recruitment companies have ever been running out of the premises.

In a statement it said: "Enterprise Inns does not condone in any way the activities of any of the rogue training or recruitment companies who take deposits and then fail to deliver on their promises to their clients.

"Over the last few years we have sought to isolate any such operators from our business, and we continue to do so.

"As far as the allegations about the Board Inn are concerned, we have previously received assurances from our lessees that the Board Inn is not used as a venue for such activities and that the business operates in accordance with the terms of our lease. We shall continue to monitor this and all instances that are referred to us.

"Enterprise always advises newcomers to the industry to make initial contact with recognised pub companies or regional/national brewers."

Punch Taverns took the lead last year and vowed to stamp out these companies.

Punch's customer services director Francis Patton said: "We back The Publican's campaign to stamp out rogue operators and welcome this action against Inn-Direct. It is not, and has never been, our policy to let our outlets to recruitment companies and we will be investigating which, if any, of our pubs are involved and ultimately give full support to anyone affected."

The Federation of Licensed Victuallers' Association's Tony Payne added: "Pub companies have got to tighten up their procedures to make sure this doesn't happen again."

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