Freight transport boss faces nine-year ban for using red diesel in his fleet

Freight transport boss faces nine-year ban for using red diesel in his fleet

The director of SDS Logistics in Scotland, Scott McClung, has been banned from acting as a director for nine years after using red diesel in his fleet.

The company, based in Stirlingshire, ceased trading after six years in August 2016.

After going into liquidation, an investigation by the Insolvency Service found that between May 2013 and April 2017, SDS Logistics misused close to 1.7 million litres (approximately 1,688,648 litres) of rebated Gasoil, also known as red diesel, in its fleet.

Gasoil, which is dyed red for identification purposes, can be used in registered agricultural or construction vehicles and carries a reduced tax levy compared to Derv, the white diesel used in normal road vehicles.

The red diesel is illegal to use in vehicles registered for and used on public roads.

SDS Logistics’ use of the fuel was found when HMRC officials visited SDS Logistics’ premises in April 2016 and found four vehicles had been misusing red diesel.

As a result, a penalty of £553,210 was issued, but SDS Logistics failed to pay, leading to its liquidation.

Forty-seven-year-old Scott McClung has since been disqualified from acting as a director until 14 March 2027.

Robert Clarke, investigations group leader at the Insolvency Service, said: “The substantial period of this disqualification reflects the fact this director put his financial interests above all else in taking advantage of this subsidised fuel.

“The majority of similar businesses pay the proper duty on the fuel they use, and carry that legitimate cost within their trading strategy. This was a blatant disregard by a director to obtain an unfair competitive advantage.”

Read More

Making sense of the vast amount of data produced from telematics can often be daunting, resulting in opportunities being missed and actions not being taken. Our expert panelists share their advice on how to make sure valuable fleet information is not getting lost

Telematics generates vast amounts of data which needs to be digested and acted on if any benefits are to be realised. But how well are fleets using data? And do companies have a moral and legal obligation to act on reports of bad driving? We ask our telematics experts

Meet our new leasing experts, who in this first discussion, examine how new challenges such as Brexit, air quality and policy changes are affecting fleet managers

In the first of a new panel discussion, we ask our experts their views on how telematics have shaped and driven change within the fleet management profession, and why reluctance to use fleet technology still exists within some organisations

GreenFleet Expert Panel - Leasing

Can it pay to think differently about the way we travel? Our expert panelists examine how the new concept of ‘mobility’ is impacting the fleet sector

Expert Panel

Following the launch of the Department of Transport’s consultation into making charge points more accessible, GreenFleet’s expert panelists give their views on the key factors that will shape the electric vehicle market’s development in the near future.

GreenFleet Expert Panel - Leasing

How can leasing and contract hire firms help with the wider role of fleet management? And what role does the industry play in driving down emissions? We ask our new expert panel for their views.

Expert Panel - Telematics

Our telematics expert panelists share their thoughts on how technology has helped drive down road emissions, how telematics grows the appeal of electric vehicles, and how autonomous vehicles could benefit fleets in the future.

Expert Panel - Electric Fleets

GreenFleet taps into the minds of its expert panel to assess the place of electric vehicles in company car fleets and what the major barriers to adoption will be moving forward.

GreenFleet Expert Panel - Connectivity

Technology is changing the way we travel. GreenFleet quizzes its telematics expert panel on how connectivity is facilitating new mobility trends, aiding fleet management, and reducing CO2 emissions.

Toyota Proace Comfort Medium 1.6M D 115

With three lengths, two wheelbases and car-derived technology, the second-generation Toyota Proace offers commodious carrying capacity, and good on-road manners. Richard Gooding also finds the latest range of Euro 6 engines add economy skills to the Japanese van’s CV

2018 Nissan LEAF Tekna 40kWh

The original Nissan LEAF was a trailblazer, the first big-selling pure electric car. Eight years and 300,000 cars later, there’s a second-generation version. Richard Gooding finds that a longer driving range, a more powerful electric motor and easier-on-the-eye styling are just a few of the advances

 Hyundai Ioniq Plug-in Hybrid Premium SE

The Plug-in Hybrid is the last of Hyundai’s Ioniq family to arrive, but does it offer the best benefits of all-electric and hybrid running? Richard Gooding tops up his knowledge on the South Korean newcomer

Enabling the adoption of Zero Emission Freight Vehicles - Electric Trucks to ensure a reduction in GHG, NOx, SOx and PM emissions to improve air quality and contribute to the Sustainable Development Goals.