Day 077 - 25 Jan 95 - Page 70


     
     1
     2   MR. RAMPTON:  Was it or was it not that fifth consignment
     3        balance sheet beef?
     4        A.  No, it was not balance sheet beef.
     5
     6   Q.   Why was it not balance sheet beef?
     7        A.  Because due to pressure from commercial competitors our
     8        balance licence was rescinded.
     9
    10   Q.   Had you at the date of the recision already contracted to
    11        take this consignment?
    12        A.  Yes, we had.
    13
    14   Q.   In consequence of that, did you pay a higher price for it
    15        than you would have otherwise had done had it remained
    16        balance sheet beef?
    17        A.  Yes, we did.
    18
    19   Q.   If you turn over to tab 4, this scheme which we see in
    20        March 1983 you were discussing with Customs and Excise, was
    21        there scheme in due course approved by Customs and Excise?
    22        A.  Yes, it was.
    23
    24   Q.   Was there required by Customs and Excise any kind of a
    25        trial run to see whether it worked or not?
    26        A.  Yes.
    27
    28   Q.   Was that because McDonald's were an outlet and on its face
    29        McKey was a supplier?
    30        A.  That is correct.
    31
    32   Q.   My Lord, I am leading on this because it emerges from the
    33        documents.  Was your argument that in fact it was all one
    34        operation?
    35        A.  That was the absolute gist of my argument.  McDonald's
    36        owned the company.  McDonald's owned the meat.  McDonald's
    37        cooked the meat before they sold it to the customer.
    38
    39   Q.   Did Customs and Excise require a trial run at certain
    40        collected West End stores?
    41        A.  Yes, they did.
    42
    43   Q.   So that they could watch the beef all the way through the
    44        process to putting it on the plate?
    45        A.  Yes.
    46
    47   Q.   Where they satisfied with the conditions?
    48        A.  Yes.
    49
    50   Q.   Can you then turn, please, to what the position is 
    51        expressed to have been by Weddel in May of 1983 which is at 
    52        page 8?  You should find a letter from Weddel dated 3rd May 
    53        addressed to you.  Am I right about that?
    54        A.  Yes.
    55
    56   Q.   The fourth paragraph reads as follows: "You", that is you
    57        Mr. Walker, "were asking what the comparative values were
    58        between Australia and Brazil.  Assuming we deliver via
    59        London Cold Store the Australian beef would cost
    60        approximately 94p and Brazilian 69p", that is per pound

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