ICSM Business News In Brief: Miss Universe bankruptcy; David Cameron Greensill scandal; logistic firm in trouble; and HS2 cancellation fall-out 

By Harry Mottram: The firm that owns the Miss Universe beauty competition based in the USA and Thailand has filed for bankruptcy in Thailand after a near collapse of its share price and increasing levels of debt.

The Miss Universe Organization was co-owned by Mr Trump from 1996 to 2015 who sold it when TV companies refused to screen it due to his racist views. It was acquired by Thailand’s Anne Jakrajutatip for $20 million in 2022 from IMG Media, adding it to the portfolio of JKN Global Group who also owns Miss USA and Miss Teen USA. The bankruptcy occurred shortly before the El Salvador competition on November 18, and after it failed to repay a £12 million pound loan.

The Thai Bankruptcy Court has set the hearing date for the petition for business rehabilitation on 29 January, according to the firm. Begun in 1952 the show is screened in around 100 countries with new rules that has allowed mothers and married women to participate in the contest from this year.

Greensill scandal

Political journalists were stunned when the former prime minister David Cameron stepped into Downing Street to become the new Foreign Secretary in Rishi Sunak’s Government. Dodgy Dave as the Beast of Balsover MP Dennis Skinner called him in Parliament may be an experienced politician but the legacy of the Greensill scandal won’t leave him. The Australian outfit was his employer after he left Government after the Brexit referendum – earning him a reported £8 million. Nice work if you can get it but the scandal was over his role in lobbying the Government and his former colleagues for tax payers’ cash in the form of Covid loans – and his enabling of Greensill to have an office in Downing Street and act as a funder for a number of UK projects. In 2021 Greensill went bust costing the UK Government and taxpayer a staggering £5 billion pounds.

Magnus Group

The East Anglian logistics outfit Magnus Group has filed a notice of intention to appoint administrators. Writing in the trade publication Motor Transport Chris Tindall reported: “The firm, which has been trading since 1973 and offers road and air freight, warehousing and pallet services, filed the notice on Friday 10 November. It currently holds an international licence authorising a total of 87 HGVs and 105 trailers running out of three operating centres in the East of England traffic area.

“A notice of intention outlines to the court that a business intends to enter insolvency proceedings if a solution cannot be found to its financial problems. Ellisons Solicitors are named as the company’s representative.”

Football fans may be aware that the firm is one of the sponsors of Ipswich Town FC – a relationship that has now ended.

HS2 fall out

Cancelling the HS2 link from Brum to Manchester may have saved billions in the short term for the Government but Rishi Sunak’s decision does have its costs and one of them is for train builders Alstom UK. The company that was contracted to start building rolling stock for the high speed line from 2026 is now having to consider sacking hundreds of workers in Derby at its Litchurch Lane factory. The plant has been building trains for the last 180 years.

The Mail reported: “The firm, which also builds France’s high speed TGV trains and is the world’s second largest rail company after China’s CRRC, is consulting on job losses at the site in Derby.”

Ian Carrotte of ICSM said that any business linked to the now cancelled extension to the line will have a question mark over it since the promised work and contracts have been blown away. He said: “I would advise any company or trader who has banked on future work from the HS2 line to be cautious of promises made since the project has been shelved by the Government north of Birmingham.”

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