Teifi Valley Railway

Elizabeth Perry · 27 Mai 2015

Membership Secretary at present is Ken Jones, contact him on kencaro@lwcdial.net

lynbarn · 28 Mai 2015

Thanks Elizabeth have sent him an e mail

lynbarn · 3 Juni 2015

From what I have been told, there is still a lot going on behind the scenes which due to legal reasons can not be reported on just yet, it is not all doom and gloom and there is light at the end of this tunnel, but it is a long tunnel, if you are a member don't give up as the society still needs you.

The one problem with a lot of railway groups is they are started by volunteers who may not come from a working railway background, but as long as you are prepared to learn the skills required to run a railway, then things can only get better. May be it is time to think about holding skills workshop weekends on different railways so that knowledge is past on to other volunteers?

BillR · 10 Juli 2015

Not much in the way of updates on here but their facebook page is being regularly updated.

Track laying, repairs to Alan George amongst other things.

But now it seems someone is now sticking an oar in again and forcing the resignation of their head engineer.
This is so sad just when the revival was looking so promising.
Reading between the lines, it looks like something needs to be reported to the police and if so I hope it has.

Just what the hell is going on down there?
Read for yourselves .... https://www.facebook.com/TeifiValleyRly

Forestpines · 13 Juli 2015

I do have to wonder - speaking as an outsider with only this thread and Facebook to go on - if the resignation is partly a result of comments like those earlier in this thread about "con men", "private social club" and the like.

Elizabeth Perry · 19 Juli 2015

According to the TVR Facebook page, Dave's resignation was due to personal attacks on him from persons unknown, not from anyone at the TVR. There is no further information and no explanation as to why these attacks would cause him to leave the railway, where he was an essential part of the resurrection as Responsible Person. The page contains several messages of support in a reaction to the devastating news, including an expression of thanks from the current Manager.

Elizabeth Perry · 23 Juli 2015

An appeal for rescue of the TVR has been sent to Steam Railway, Heritage Railway etc so hope it is printed. Urgently needed are a Responsible Person, drivers, firemen and other railway people. Any chance of any real interest?

Felix Holt · 24 Juli 2015

Unlike some who post on Nat Pres, I have a feeling there may well be an eventual reinstatement of the Carmarthen to Aberystwyth line (if only for political reasons). I'm not sure I'd be too keen therefore to invest in a railway that sits right along the trackbed of the line that might be reinstated.

I'd suggest maybe taking the stock elsewhere (as did the Swansea Vale when it merged with the Gwili) and offer to sell the trackbed to Traws Link Cymru. As it appears from the TLC spokespeople that the Gwili trackbed is safe as far as Llanpumsaint, another option would be to run TVR trains from Conwil to Llanpumsaint as a narrow gauge addition (or Danycoed to Conwil - might be light enough for the suspect bridges). That would be a unique selling point - standard gauge and narrow gauge on one ticket!

Selsig · 24 Juli 2015

But the Teifi is on the trackbed of the Pencader - Newcastle Emlyn branch, not the main Manchester and Milford line from Aber - Carmarthen, so isn't even vaguely under threat by the Traws Link scheme.

Felix Holt · 24 Juli 2015

Zitat von Selsig: ↑

But the Teifi is on the trackbed of the Pencader - Newcastle Emlyn branch, not the main Manchester and Milford line from Aber - Carmarthen, so isn't even vaguely under threat by the Traws Link scheme.
Click to expand...

Oops, so 'tis! Mea culpa
Still - I think a Gwili-TVR joint line might work. I don't think the TVR on its own is likely to make a go of it.
How about dual gauge Danycoed to Cynwil??

Elizabeth Perry · 24 Juli 2015

About 10 years ago when the Carmarthen-Aberystwyth line campaign began, there was a fairly serious suggestion that an extra million or two might do to construct a totally new narrow gauge line from Henllan to Lampeter, where trains could join the main line. The Emlyn branch originally left the main line at Pencader Junction and headed off northwest to Llandysul. This route is now more or less impossible following building of council houses, Llandysul Bypass, etc etc. The TVR owns up to the missing river bridge at Alltycafan, just outside Llandysul. Interesting engineering problem!

Matt78 · 24 Juli 2015

Zitat von Felix Holt: ↑

Oops, so 'tis! Mea culpa
Still - I think a Gwili-TVR joint line might work. I don't think the TVR on its own is likely to make a go of it.
How about dual gauge Danycoed to Cynwil??
Click to expand...

Well how about SG Abergwili to Conwil and NG Conwil to Llanpumsaint?

JWKB · 24 Juli 2015

Matt,
Nah just do AJ to DC Standard guage and DC North in NG

Felix Holt · 25 Juli 2015

Zitat von Matt78: ↑

Well how about SG Abergwili to Conwil and NG Conwil to Llanpumsaint?
Click to expand...

SG to Cynwil requires bridge works. NG might not, depending on weight. So the TVR could be relaid very soon and still meet up with the Gwili. After funds are obtained in some years time to strengthen the bridges then the TVR could be moved to run from Cynwil to Llanmpumsaint. A bit of dual gauge would of course be fun but not cheap!
BTW, this is meant as a potentially serious idea building on the precedent of the Gwili - Swansea Vale merger.

Matt78 · 25 Juli 2015

Zitat von Felix Holt: ↑

SG to Cynwil requires bridge works. NG might not, depending on weight. So the TVR could be relaid very soon and still meet up with the Gwili. After funds are obtained in some years time to strengthen the bridges then the TVR could be moved to run from Cynwil to Llanmpumsaint. A bit of dual gauge would of course be fun but not cheap!
BTW, this is meant as a potentially serious idea building on the precedent of the Gwili - Swansea Vale merger.
Click to expand...

Yes if there really is no way forward for the TVR then the GR - SwVR merger provides a precedent. South Wales has suffered a number of failed scheme/ones that never got off the ground and the Gwili has often provided an avenue for a new start for several groups in that situation.

For the time being however the TVR has to look around to see if it is still possible to salvage something, and I wish them well in this regard.

Regards

Matt

Felix Holt · 25 Juli 2015

You gotta admit that being the only heritage line in UK that transitions from SG to NG would make the Gwili a must visit line!!

lynbarn · 28 Juli 2015

From what I know, the Teifi could do with someone who has some money to spare, I think what is required is some one like Nigel Bowman to take charge of the whole project and they could then turn it around, to a certain extent it would be a good place for a collection of locos like Statfold has, just as long as you have the back up to maintain and rebuild the whole line.

Charobin · 29 Juli 2015

Some money? Lots!

Realistically a transplant to somewhere that isn't in the back end of nowhere to encourage greater visitor and volunteer numbers, plus a fairy godfather or two, are what the Teifi require. They are nearly starting from scratch after all - the fact they have been contacting railways asking to copy their rule book probably demonstrates how little the current team are starting from!

A 'Teifi Valley Railway Disaster' page has recently appeared on Facebook with the following statement, I suspect written by someone who was heavily involved. I recommend making a cuppa before you sit down and read it!:

This narrow gauge railway laid on a former standard gauge trackbed in remote West Wales, near the town of Newcastle Emlyn, was run by a not-for-profit Company with a Light Railway Order which made it a statutory undertaking, and was accompanied by a Railway Society which had become a registered charity, had helped to raise the money to purchase the property and had been rewarded with a majority shareholding in the Company. The Society’s shares were held by 3 Custodian Trustees, headed by Edward Fitzwilliams, a local landowner whose ancestors had been responsible for the GWR extending the line to Newcastle Emlyn in the first place. After the purchase in 1981, the first passengers were carried in 1985, with grant aid the line was extended twice, locos and rolling stock were bought and built, visitor facilities constructed, and passenger numbers peaked at between 25,000 and 30,000 a year.

By 2012 the Railway was feeling the effects of the recession. Passenger numbers were falling and hence income was reduced. There were also major personnel problems. Two directors (of 5) decided to resign, fearing the Railway was on the brink of closure. The 3 remaining directors (Ray Sanderson, Richard Nicholl, Elizabeth Perry) had many years’ experience of running the Railway and were joined by another volunteer, Catherine George. Elizabeth Perry, a qualified accountant and Oxford graduate, acted as Company Secretary and Treasurer and since joining the Railway in 1978 had raised over £250,000 in grant money to finance developments. Richard Nicholl had joined the Railway even earlier and had taken on the work of trackside maintenance, paying for equipment himself. Ray Sanderson had held the post of General Manager on and off since 1983 and had always stressed the importance of running the Railway as a business. However, there was a lack of safety critical personnel. The Chief Engineer and Responsible Person (Dave James) was notoriously bad tempered and unable to train assistants, which meant that he soon found himself the only engineer/driver, and there was a shortage of trained drivers, firemen and volunteer guards. The trackwork manager (Alex Martin, member of the Permanent Way Institution) left to take up fulltime work. At the end of the year the Café manager decided that she would not continue to run the café, since it was not viable. Active efforts to recruit more Society members to act as volunteer workers had very little success.

It was apparent that there would be no major capital expenditure in the near future and hence it was agreed with the Bank that the high overdraft facility would not be needed and should be reduced by £5k year by year. At his annual visit in February 2012, the HSBC business manager discussed plans to increase income and continued his support. The directors increased expenditure on publicity and this maintained passenger numbers at a similar level to that of the previous year. Despite the lack of trained personnel, trains ran according to the timetable.

In January 2013 a local businessman, Martin Dearing, called at the Railway asking to rent a space in the Yard to operate a garden centre. Hearing of difficulties with running the café, he offered to completely renovate it before taking it over. A weekly rent of £150 for a year for both from April 1st was agreed. February and March were spent in site clearance, erecting and stocking three polytunnels for his garden centre, redecorating the café and installing new furniture, crockery, cutlery and catering equipment. All this work was done by his employees, who were working for him at his successful mini supermarket in a nearby village. From April 1st, rental was paid by weekly Bank transfer into the Company’s Bank account and new staff appeared to run the café and garden centre.

At Easter the Railway reopened as usual, but trains could not run every day because of faults in the steam locomotive “Alan George”. It became apparent that boiler tubes were leaking water into the firebox. This should have been discovered during normal winter maintenance work, but the Chief Engineer had not carried this out. The directors were increasingly dissatisfied with his performance but it was almost impossible to find any replacement.

During March and April the tenant had daily discussions with the Board chairman/General Manager (Ray Sanderson) about taking over other areas of the business and developing the Yard as an adventure playground, with new attractions created at stations down the railway line to bring in cash. He overheard conversations regarding the Company’s difficulty in finding contractors to fell the spruce plantation alongside the track as part of its 5 year woodland management scheme, because of the difficult access, and offered to buy the fallen and standing timber for £6,000. This offer was accepted and he agreed to pay for the timber by weekly instalments. Gradually it was revealed that his brother Peter Dearing ran a successful international wholesale business on a large scale, owned a villa in the South of France, and that he was prepared to invest large amounts in the development of the Railway – but only if he had a greater degree of security and control. Leases of anything up to 25 years were suggested.

This was the critical point in the discussions. It was clear that the Railway needed an injection of capital and an increase in the number of workers. But it was a social enterprise more akin to a co-operative than a commercial business, and had always been run for public benefit rather than to raise cash for any individuals. It was necessary to make a profit, and thus to run the business as efficiently as possible, but this would be retained by the Railway for reinvestment. The suggestion of a trial year for new arrangements was rejected and a much longer contract was insisted upon. Later in April it was suggested that Dearing would only sign a contract that included operation of the railway, so that he would receive income from the sale of train tickets. In effect, he would take over the whole Railway and run it using his own employees. The directors however insisted that they would have to continue working at the Railway at least in the first season to ensure that things ran smoothly, and Society volunteers would want to continue working on their collection of rolling stock. Additionally, since he knew nothing about railways, it was essential that he take advice from expert consultants. It was also essential that he realise the high costs involved in constant maintenance of track, locos and rolling stock. Dearing agreed and invited consultants TIR Ltd to spend a weekend at the Railway and thoroughly investigate the track and rolling stock, producing a management plan for the season. A report was produced but Dearing concealed the contents, because (as was later discovered) he found that TIR were critical of the condition of the track and recommended that parts of it needed urgent attention before trains ran over it. Directors were only told that he had rejected the report because of the high charges proposed, involving a manager, an engineer and several members of train crew, as well as a maintenance gang who would make regular visits after undertaking the urgent repairs necessary to track and rolling stock.

The Company Secretary (Elizabeth Perry) consulted the HSBC business manager, who pointed out that the Bank held the deeds of the property as security for the Company’s overdraft and would therefore not allow the creation of any tenancy. The relationship would be better described as a franchise, with definite fees and a termination date. She then asked the tenant for the names of his accountants and solicitors so that the details of the contract could be discussed, but was told firmly that this was not necessary. Ray Sanderson then rebuked her for asking “silly questions”, which might put the tenant off and cause him to pull out of the deal. She nevertheless discussed a draft contract with the Railway’s usual solicitor, and clauses to protect the Company were built into the document. As a prudent precaution the Company retained operation of the Railway shop so that it would have some sort of daily cashflow.

The Contract contained several clauses specifying the franchisee’s obligations. These included setting up a standing order to pay the agreed franchise fee at an agreed interval, and taking over all the expenditure involved in running the business. There were also restrictions. He was not to enter into contracts on behalf of the Company, which meant that he should not use the Company’s credit accounts with suppliers. If any payments were not made, then after an agreed period of notice the Contract would be terminated and he would have no right to remain. After discussion, it was agreed that the franchise fee should be £10,000 in the first year, £15,000 in the second and £20,000 in the third. After this there would be a review of the whole arrangement, but it was anticipated that by then the family investment would have put their enterprise into profit and a completely new Contract would be needed.

Further pressure was then applied to persuade the Company Secretary to sign the Contract by the imposition of a deadline of April 30th. If the Contract was not signed by then, the deal would be off. Assuming that the franchisee would be bound by a legal document which he had discussed and then signed, as he had with the earlier rental document, she signed the Contract on April 30th. The document was signed by the franchisee and witnessed by the chairman of the Board.

Positive changes then began to take place. Dearing was able to pay employees, including the chief engineer, a labourer and café staff. He paid volunteer workers expenses of £20 a day. He was able to pay contractors to carry out work on his new projects, such as elaborate obstacles on the crazy golf course, pixie houses at the end of the miniature railway, the creation of a pets’ corner alongside the Yard, and the erection of a covered soft play area. The chief engineer was ordered to make an immediate start on training new steam drivers. There were several different owners of the rolling stock on site and the Company Secretary simplified this by arranging transfer of ownership to the Railway Society. A considerable quantity of scrap was cleared from the Yard. A constant flow of new ideas was discussed and it was evident that cash was available to put them into practice. One of the Railway’s diesel locomotives was sent away for transformation into a smokebreathing dragon by the addition of fibreglass wings.

Elizabeth Perry as Company Secretary and Treasurer was mindful of the Company’s obligations to keep accurate records of passenger numbers and the reconciliation of these with the money taken, also the necessity of recording any deductions made and making the weekly transfer of the net amounts to Dearing’s bank account. A system of weekly emails was set up to keep Dearing and his brother fully informed.

Negative factors however caused disquiet from the start. Dearing announced that he would be paying the franchise fee in weekly instalments, calculated as £192.30 per week, but this would be by Bank transfer rather than standing order. It was decided that this could be sorted out later, although the Treasurer was puzzled by the fact that these payments were being taken from Dearing’s minisupermarket bank account, which was also selected as the destination for the Railway transfers. Payments of £100 a week for the timber also began. But when the electricity bill for May was received in June and Dearing was asked to set up a direct debit payment, he delayed for so long that the Company was forced to pay the bill to avoid disconnection. The Company began to make deductions from the ticket revenue to cover this before it was passed to Dearing. He made no attempt to pay the further monthly electricity bills and so the deductions system had to continue. Clearly this was not satisfactory. But Ray Sanderson swept aside any complaints, pointing out all the positive aspects of the arrangement. Dearing’s designer, for example, had created a slick new website for the Railway to replace the Society’s amateur effort, and a new leaflet was printed to advertise the new facilities created by Dearing.

At the end of July 2013, Dearing opened a new bank account called “Teifi Valley Railway”. His payments of franchise fees and timber instalments suddenly stopped. There was no explanation. It then became apparent that Dearing told lies. He spent several weeks pretending that he was setting up direct debits on his new account to pay electricity bills and franchise fees, while in fact doing nothing, which forced the Company to make the payments for essential services. He then began using the Company’s credit accounts with suppliers to order materials. Because goods were delivered to the Railway address, suppliers naturally assumed they had been ordered by the Company, and invoices were addressed accordingly. These invoices then had to be passed to Dearing in the hope that he would pay them, but soon suppliers began phoning the Railway to ask for payment and it became evident that he was not paying his bills promptly. There were reports from local people that the minisupermarket was being run down, with gaps on the shelves left unfilled. Intermittent payments of franchise fees began, but the arrears were not paid. At the end of September the visitor season was effectively over and hence no more deductions could be made from takings to pay off any money owed. The Company’s overdraft began to increase. The Treasurer was concerned that the whole arrangement was breaking down, but once again Ray Sanderson told the directors not to worry, because Dearing’s brother was expecting a large sum of money from his dealings in China. A whole shipload of Christmas lights had been ordered and was making its way across the ocean.

Peter Dearing then had to rush to Hong Kong to find out why the shipment had not actually left. He was said to be arranging a transfer to air freight. However, his efforts were in vain and the shipment never arrived. There were rumours that bribes had not been paid and the authorities suspected him of illegal activities – but no explanations were given to the directors.

Dearing and his brother arranged a successful November fireworks display at the Railway and then the annual series of special trains to visit Santa. Peter Dearing set up an internet booking system and the Company Treasurer was asked to operate it. Dearing withdrawals of cash from the system at regular intervals were visible. From ticket stubs kept by Elizabeth Perry, it was clear that over £10,000 was taken at the two events. But none of the arrears of fees or bills were paid. The Treasurer then cancelled the Company’s direct debits , forcing Dearing to pay the electricity bills and take over liability for other services.

In November advance notice was received that a member of the Railway Inspectorate would be making a visit in February 2014. This was alarming, since while Dearing had spent large sums of money on the amusement park side of the business, there had been no expenditure on the Railway other than daily maintenance of the rolling stock in use. The previous departure of the trackwork manager meant that essential paperwork such as maintenance records and the safety management system document was missing. The Company Secretary asked him to carry out a full track survey and this took place in December 2013. It revealed that the condition of the track was unsafe for operation, since no maintenance work had been carried out. It was revealed later that the findings almost exactly corresponded with those of the TIR Report of April 2013.The Company Secretary took three copies of this Report to the Railway, expecting Ray Sanderson to give one to Dave James (Responsible Person) and organise immediate attention to the repair work, since this mainly involved replacing rotten sleepers and the new sleepers had been in stock for over 2 years. Sanderson’s reaction however was unexpected. He dismissed the Report as being exaggerated and biased, because of the previous falling out between Dave James and Alex Martin. He informed the Company Secretary that Dave James was about to be dismissed and a new Responsible Person would replace him.

January 2014 became another turning point in the franchise arrangements. On the positive side, Mike Morris the new Responsible Person was an experienced steam engineer from the Gwili Railway and brought with him assistants to start work on overdue repairs and maintenance of the steam locomotive “Alan George”. He also inspected the track and informed Dearing that it would not be possible to recommence running trains in January as he had planned. Following the departure of Dave James, it was possible to completely clear the carriage shed of accumulated rubbish and items of his personal property. On the negative side, quantities of scrap left the Yard and the Company received none of the proceeds. Dearing told the Company Secretary that he had transferred cash into the Company’s bank account when he had not done so. This lie was repeated to Ray Sanderson later the same day. As far as the Company Secretary was concerned, this put an end to the business relationship. Sanderson however was unconcerned, saying that everyone told lies. Regardless of the fact that the Company’s overdraft was increasing daily, he actively helped Dearing embark on new expensive projects without discussing them with the directors. The Railway’s museum in a former signal box disappeared and was replaced by a burger bar, with a large timber stage in front of it. The Company’s office was cleared out and work began to convert it into a bedsit for a planned nightwatchman. Company files and desk were dumped up in the loft. It was then found that Mike Morris was not working for the Teifi Valley Railway but in fact the Gwili Railway were charging for loaning him and Dearing had not kept up to date with payments. Since his presence was essential, the Company Secretary paid the outstanding bill. Mike Morris then pointed out that he and Alex Martin had found severe defects, including broken fishplates, in the passing loop at the Riverside station. A length of rail at the far end of the track had been removed so that the loop could not be used. Sanderson was still unconcerned.

So determined was he to make sure that Dearing stayed at the Railway that he had devised a new scheme by which Dearing’s expenditure on new projects was set against what he owed, thus cancelling his debts to the Company. The Company Secretary pointed out that any tenant or franchise holder had a duty to pay rent or fees first, before spending money on anything else. But this was brushed aside and it was clear that the Company chairman was no longer working for the Company but was reduced to acting as Dearing’s assistant; it was found that he was signing letters to arrange school party visits to “Train World Adventure Park” at “the site of the former Teifi Valley Railway”. There was plainly a conflict of interest and he was failing in his duties as a director.

It was apparent that Dearing regarded the Railway and its premises as his own. The directors and the Society were irrelevant. Dearing became increasingly impatient with Michael R Martin, the manager of the Society website, and repeatedly asked that this be closed down. He was particularly annoyed because the Society website came out at the top of the listing on the main search engines. The Company Secretary encouraged Michael Martin to resist these requests.

The Railway Inspectorate found that it had doublebooked the February date for the visit to the Railway and it was postponed to April. This gave the opportunity for trackwork repairs to be carried out. But Dearing instructed his two men to fell trees on Railway land and make him money by selling logs.

The Railway reopened at Easter and passengers were carried on a track which was known to be unsafe. The Company Secretary refused to sell tickets or attend for work daily as in the previous year. Sanderson called in members of his family to fill the gap. The Inspection on April 4th was concerned with the Railway’s management structure and paperwork. Both were lacking. Dave James had not kept up the detailed records of train crew personnel, standards of maintenance of track or rolling stock, or boiler inspection certificates. There was only an outline draft of the safety management system core document and the operating Rule Book was out of date. Mike Morris could only provide one driver’s certificate. Of the directors, only the Company Secretary attended the inspection, together with Mike Morris and the former General Manager of the Gwili Railway, Rob James. It became evident that neither wished to take any further part in work at the Teifi Valley Railway because it was being run by Dearing and Sanderson on a purely commercial basis for the benefit of Dearing, rather than as a heritage railway. The Inspector visited the carriage shed and discovered that severe damage had been caused to the chassis of the steam locomotive “Sgt. Murphy”. This had not been reported to either the Company or to the Society, the owner of the locomotive. The Inspector walked a short stretch of track and commented that some sleepers needed replacement. A further inspection was arranged for June 13th, when the Inspector wished to walk the whole track after reading a copy of Alex Martin’s Report. The Inspector also wanted to investigate the franchise agreement in more detail and its effect on the Company’s licence to carry passengers (the Light Railway Order). Meanwhile, Dearing insisted that trains continue to run on the unsafe track.

As instructed by the Inspector, the Company Secretary invited Alex Martin to attend the second inspection on June 10th. At this visit, the Inspector looked further into the management and document retention of the Railway as they were missing from the previous inspection. It became clear that detailed records of train crew personnel, standards of maintenance of track or rolling stock, or boiler inspection certificates had not been kept up by either Dave James or Mike Morris. Alex Martin produced his own records of track maintenance work and the Inspector was pleased with these.There was an outline draft of the Safety Management System document and work had only recently started on a more detailed version. The operating Rule Book had not been revised for several years.

The Inspector walked the whole length of the track with Alex Martin, taking with them the original Report, track gauge and levels. During this track walk it became clear that the track had degraded further than the original report and was not safe for any operations. The main defects were rotten sleepers, loose fishplates and areas where the track was not true to gauge. All were likely to cause derailment of the train and thus endanger passengers. At this point the Inspector asked whether a voluntary closure or an enforcement would be more appropriate to assist with the track maintenance work, as he realised that with another entity present at the Railway, there would be undue pressure to get the line operational again. The Inspector also asked whether Alex Martin would be willing to stand as witness to the state of the track and act as a professional witness should a closure be violated, to which he agreed.

On returning to the Yard, the Inspector discussed the options. He felt confident that there were staff at the Railway with the competence to get the work done, but there was no sign of recent track maintenance or records. It was decided to take a voluntary closure, allowing the Railway to open when Alex Martin was satisfied the track was safe, and a followup investigation would occur to corroborate the findings. Use of steam engines and rolling stock was forbidden however as even under Mike Morris, there was no evidence of crew competence or training. Knowing that the Board and Dearing would be unhappy with this, Elizabeth Perry asked for this to be in writing, as she was concerned that they would ignore this. The Inspector agreed and then informed all present (including Ray Sanderson) that failing to abide by the voluntary closure would result in enforcement , which would result in fines for individual directors, and the Railway would be unable to open until it had been fully inspected, which could take several months after everything was satisfactory.

The Inspector recommended that the first halfmile stretch of track, which had fewer defects, be speedily repaired and passed for operation by Alex Martin. He reviewed the current personnel and expressed the opinion that the crews were not able to operate because there was no demonstrated competence, but felt that between Alex Martin with his knowledge of assessment and experience of the line as a former driver/fireman and guard and Elizabeth Perry assisting the Board, systems could easily be implemented to allow this to be rectified. He agreed with the Company Secretary that the terms of the franchise agreement were not compatible with the Light Railway Order, since only the Company had the power to operate a Railway and could not transfer it. This would mean that the contract with Dearing was void and would have to be rewritten. This was a golden opportunity to put things right. But Dearing and Sanderson would have none of it, as was revealed the next day.

There was a small Society meeting on the evening of June 11th. The news of the closure was given to members present. The Company Secretary asked Ray Sanderson how Dearing had reacted to the news. He replied that he did not know. This was a deliberate lie. A few hours before, that same afternoon, Sanderson had taken Dearing to see the Society’s Senior Custodian Trustee (Edward Fitzwilliams) and had presented their plan for an alternative source of revenue for Dearing. He would rip up the track for the first half mile and run a landtrain (a tractor and trailer) to give passengers rides. The Company Secretary heard the next day from Fitzwilliams that he had been persuaded to approve this, partly by Dearing’s production of a mass of figures showing how much money he had allegedly put into the Railway and partly by his handing over a handful of over £2,000 in cash to pay some of his arrears. Both the Dearings were apparently to join the Board as directors, and the Company Secretary/Treasurer was to be dismissed. The Secretary spread the news of this meeting to various members and there was general disgust at Sanderson’s blatant lie. He was described by one as being “deliberately devious and duplicitous.” Adrian Milner (a former director) visited Fitzwilliams and tried to find out if he fully understood the significance of what was proposed. Michael R Martin (another former director) was concerned about the Railway’s obligation to let the public know that no trains were running and appalled at the suggestion that the Company Secretary should be dismissed.

Following up the Inspector’s recommendations, the Company Secretary invited Alex Martin to determine costings of the repairs to the line for the first stretch, along with TIR who could provide a labour force. When Alex Martin arrived, he was instantly greeted by Ray Sanderson, who informed him that if he did not leave, and Martin Dearing saw him, he would be thumped. However, at this time Elizabeth Perry and the representative from TIR arrived, and Sanderson allowed Alex Martin permission to inspect the track, on the condition that he left immediately afterwards.

The flaws in the legal setup of the Railway now became apparent. Over the years, the Senior Custodian Trustee, whose sole duty was to hold the Society’s shares in the Company, had gradually extended his role to include participation in management. Sanderson had taken advantage of this in seeking his approval of the track removal. Unfortunately, by 2014 the Senior Trustee was in his mid eighties and not fully conversant with all the details of the current situation of the Railway. Sanderson had told the Treasurer not to bother him with the various financial crises, then told him that Dearing was a good thing and so he had believed him.

Because of her strenuous objections, Sanderson arranged an emergency meeting of the Society Executive and directors to take place on June 17th (a week after the Inspection). It was this meeting, and the second meeting the next day, that decided the fate of the Railway.

The Company Secretary reported on the legal situation regarding the franchise agreement. As far as the meeting was concerned, this just meant a new contract for Dearing so was not important. The significance of the breach of the Light Railway Order was not understood. It was not appreciated that the Office of Rail Regulation could impose severe penalties on the Railway, including withdrawal of its licence to carry passengers.

The repair of the first stretch of track was briefly considered but regarded as too difficult. Dearing’s favourite weapon, a deadline, was then brought into play. Any repairs had to be completed by the end of the school term, or not at all. The Company was to be given no choice in the matter. All the Company Secretary could do was to ask for another meeting the following day to consider the financial details of Alex Martin’s plan for repairs, as suggested by the Inspector. The June 18th meeting was brief and decisive. Dearing got his way. The Society Executive gave him the Railway and further agreed that in future he could operate without any contract, not paying any rent or fees. Those responsible for this absurd decision were Gavin and Esme Foster, Michael R Martin, Edward Fitzwilliams and Ray Sanderson. (Catherine George and Julia Martin were present, but took little part in the discussions. Richard Nicholl was prevented from attending by his duties as a fulltime carer). Despite the large amounts owed by Dearing, the others were convinced that Dearing’s promises of future financial investment would come true. At the end of the meeting, Michael R Martin, who as manager of the Society website had been regularly insulted by Dearing, changed sides and asked Dearing if he could work for him. The Railway website then became an instrument of Dearing propaganda, completely distorting and falsifying information about what was happening.

Alex Martin’s scheme for repairs had an estimated cost of £2,000 to £3,000, since materials were already on site. Labour could be provided by Dearing’s 2 labourers and volunteers, supplemented by Alex Martin on a day release from his employer. This was rejected in favour of trusting Dearing to provide at least £50,000 to relay the torn-up track during the winter, and did not take any account of possible damage to the trackbed which would be caused by the operation of the landtrain. The meeting was also informed by Ray Sanderson that Dearing wanted the Company Secretary to resign, because of her constant complaints that he was in breach of the Contract.

More concerned with the safety of passengers and the Company’s duty to give this priority, the Secretary publicised the closure and the reasons for it on Facebook, pointing out that those who rode on the trains in April and May had been taking a risk.

Exasperated by the complete abdication of the Society Executive Committee, the Company Secretary continued to discuss with TIR the options for repair of the first halfmile. Chris Phillimore of TIR then revealed to her the contents of the report he had prepared for Dearing in April 2013. This had pointed out defects in the track which should be corrected before trains ran, but had been totally ignored. Dave James, the Responsible Person at that time, had not considered any defects important enough to cause concern and had not carried out any track maintenance at all. TIR visited the Railway on June 22nd and were prepared to carry out the repairs on either the first stretch or the whole line at a reduced price. However, Phillimore was rudely sent away and Gavin Foster laboriously wrote out a document by which Dearing not only promised to relay the track and operate trains on Good Friday 2015, but agreed to pay a fine of £1,000 a day for every day past this deadline. This ludicrous handwritten document showed the extent to which Dearing and Sanderson had brainwashed members of the Executive Committee.

Seriously alarmed by this, the Company Secretary the next day visited a local solicitor who acted for the Fitzwilliams family and confirmed that the Dearing contract was void because it breached the Light Railway Order. She emailed the Heritage Railway Association asking for urgent legal advice. She consulted Eleri Thomas, the solicitor who usually acted for the Railway, and was advised to consult Red Kite Law in Carmarthen, who had specialists in Company Law on their staff. She informed the other directors that she had a July 8th appointment there, and left the area for a holiday from June 25th to 30th. She later learned that during her absence, Sanderson arranged a meeting at Fitzwilliams’ house to discuss her forced resignation. However, fellow director Richard Nicholl was horrified by the suggestion and after finding that those present were ignorant of the amount of grant money she had raised over the past 30 years, listed her achievements and persuaded them against any action.

Sanderson decided to make a final effort to defend Dearing and arranged to meet her privately on July 6th to try to dissuade her from going to Carmarthen. In this he failed, since the need for competent legal advice was urgent. He did however suggest that all the directors should temporarily resign as a sort of apology for their mistake in signing a contract which was illegal, which was a quite proper course of action. The next day, the Board meeting was brief. A resolution was passed authorising the Company Secretary to keep the appointment with Red Kite Law. The Senior Trustee was then informed that all 4 directors offered their resignations. He assumed that this was a temporary measure and left the meeting. The resignations did not mean that Sanderson would be absent from the Railway. Because he was also the Society Chairman, he still remained a powerful figure and continued acting as Dearing’s assistant.

The Company Secretary attended Red Kite Law, laid out the facts of the case and supporting documents, and asked for advice on what courses of action were open to the Company. The first and most important act was to declare the contract null and void. Following this, Dearing should be given notice to quit because of his failure to make payments to the Company. There was a slim possibility that Dearing might decide to take legal action against the Company, but it was thought that this was very unlikely. It was advisable to draft and then send the letter as soon as possible and the solicitor could not understand why the Company had not defended itself months before. Another query was about the powers of the Society Executive to take decisions which were properly the province of the directors. The solicitor sent an email containing a full analysis of the situation, which was passed on to the other directors. The letter was sent to Dearing on July 16th. Copies were sent to the directors and the Heritage Railway Association, of which the Company was a member.

HRA declared that they were horrified by the Company’s situation, and arrangements were made for a visit by David Morgan, a solicitor and past chairman. Sanderson and Dearing, however, were not concerned, decided to ignore the letter and went ahead with their plan for Dearing to rip up the rails and hire in a landtrain. Sanderson then informed the Company Secretary that her Minutes of the Board meeting of July 7th were incorrect: the directors had never passed a resolution authorising her to visit Red Kite Law in Carmarthen. He had arranged a meeting of the Society Executive to take place on July 22nd. This meeting was attended by Edward Fitzwilliams, Michael R Martin, Julia Martin, Esme Foster, Gavin Foster, Ray Sanderson and Elizabeth Perry as Society Secretary and Treasurer, who was the last to arrive. Edward Fitzwilliams read a statement that Ray Sanderson was now the sole director of the Company. This had evidently been agreed beforehand, since there was no comment from the others present, even though it was wellknown that Society and Company documents specified that there should be 4. The Secretary stated that she had been criticised for keeping incorrect Minutes and would therefore read her notes back at intervals so that they could be checked , but she was rapidly informed that Sanderson would be keeping the Minutes of the meeting. Sanderson then launched into a diatribe of criticism of the Secretary, deploring her action in going to Red Kite Law and saying that this had not been authorised by the directors. The action, he said, was typical of her impulsive actions and had been a purely individual decision. When she asked for other examples of these acts, none was forthcoming. Sanderson continued his speech by stating that other members of the Railway could not work with her any more, and despite her pointing out that it was the Company Secretary’s job to deal with legal matters and there had been an urgent need for legal action, would not listen to any further comments. Sanderson informed her that the Company had cancelled any legal action against Dearing. It was apparent that all those present agreed with him and further argument was futile. She therefore left the meeting, pursued by cries of “Have you resigned?” from Esme Foster. A few days later a letter from Sanderson informed her of what had happened at the meeting after she had left. A vote of censure on her actions as Company Secretary had been passed, and she was evicted from all positions she held in the Society and ordered to return all Railway papers to the Henllan office immediately. A short while later, even though the Secretary had begun returning files to the office, Sanderson visited Eleri Thomas and insisted that she write a similar letter demanding the return of all Railway papers. Having dealt with this solicitor for years, the Secretary was able to speak to her and explain the situation.

In this way the Railway was deprived of the Secretary’s 30 years of experience and professional qualifications. Sanderson had no qualms about expelling colleagues because he would support Dearing no matter what the cost.

Dearing and his men had torn up the rails and sleepers on the first stretch of track and made no attempt to put them aside properly for future use. A hideously disguised tractor and two trailers had arrived to be used as the landtrain. These came from the same suppliers as were meant to be working on the transformation of the diesel locomotive. Michael R Martin portrayed this destruction on the Railway’s website as progress, calling the landtrain “the Hopes Express”. However, customers were not interested, the enterprise was not successful, and Dearing put the second part of his plan into operation. This was to extract all the fallen and standing timber from the spruce plantation and sell it for cash, despite the fact that he had considerable arrears of his payments for the timber. Another factor, which was not brought to the attention of anyone at the Railway, was that the rails and sleepers just beyond the first stretch of track had not been lifted and were being severely damaged by the massive timber carriers once felling began. With hindsight, it appears that the extraction of the timber was the real reason for Dearing lifting the track. It also becomes clearer that Dearing had deliberately closed down his minisupermarket in order to take over the railway business, but then on finding that this was not as profitable as he had hoped, was in the process of stripping out as much cash as possible from the sale of timber before pulling out and starting a new business in the former supermarket premises. He instructed his men to fell all the trees on Railway property and, as later discovered, valuable hardwoods over the boundaries on land belonging to Railway neighbours. Sanderson connived with this, ignoring the fact that the Company was engaged in a grant-aided 5 year woodland management scheme which emphasised conservation and planned felling and coppicing rather than brutal exploitation of woodland resources.

By the time David Morgan of the HRA was able to visit the Railway on August 4th, this process had begun and at the time of his second visit a month later, was well under way. He first met the Society Executive members and reproved them for their treatment of the Secretary, saying that “they had thrown her out for being right.” He then met Sanderson and Dearing, and was dismayed by their attitude, which showed no appreciation of the nature of a heritage railway and resented not only his visit on behalf of the HRA but also the “interference” by the Railway Inspectorate. He was told that Dearing’s money was the only hope for the Railway, and without it would have to close. During his second visit, he reproved the Secretary and other former directors for their “negative” attitude and expected their backing in working for the future success of the Railway under Dearing. Evidently he had been persuaded by Sanderson that there was no alternative. But it was difficult to believe that Dearing would be able to inject further finance when he owed the Company so much in unpaid fees and had refused to make payment of these arrears. It seemed that Sanderson was under his spell and had forgotten all he ever knew about standards of ethical behaviour in business.

During September and October 2014 there were attempts to regularise the administrative setup, resulting in the bizarre spectacle of a succession of people being invited to become directors, Society office holders or Custodian Trustees. It was announced that David Morgan and Martin Dearing had become directors – but this was not reported to Companies House any more than the July resignations had been. A bizarre directors’ meeting solemnly discussed Dearing’s ideas for relaying the track at a time when he must have known that his timber contractors as well as ruining the trackbed formation near Henllan had totally destroyed the rails and sleepers in the felling area. Sanderson even put forward a plan for a new 25 year lease. Michael R Martin went in search of Society Trustees and contacted Ivor Macfadzean, who had been General Manager a few years before but left under a cloud, barred from operating a locomotive by the ORR. He attended a Society meeting and began asking awkward questions which Sanderson refused to answer. This was the beginning of the end of the Dearing regime. He had agreed with Macfadzean that he would be present to open the Railway premises for business on October 25th for halfterm week, but did not appear. Looking at the empty Yard, Macfadzean decided to take over the Railway and bring in his own people in a total reorganisation.

Macfadzean was under a great disadvantage in that he had been away from the Railway for seven years. In particular, he had no idea of what Sanderson and Dearing had been doing for the past year. He therefore assumed that the disintegration of the Railway was the fault of the most recent directors (Sanderson, Nicholl and Perry), not realising that the Secretary had been thrown out for opposing Dearing. Dearing’s misuse of the Company’s credit accounts with suppliers was also unknown, so it appeared that the directors had wilfully mismanaged the Company’s finances and burdened it with large debts, some of which were being pursued by legal action. He brought in an accountant, Nikki Cox, who made the same mistaken assumptions. A Society meeting was arranged and after it had ended, a meeting of selected individuals, including a returned Dave James, followed. It was revealed that a police investigation was in progress, although exactly what it was focussed on was not clarified. Among other matters, it was decided that Elizabeth Perry’s application to renew her membership of the Society should be suspended until the investigation was complete. Thus, instead of being welcomed back to the Railway she was dismissed again.

Since this date, the Macfadzean regime has continued to work to try to resurrect the Railway. Unfortunately, the damage done by Dearing and Sanderson extends far beyond the physical damage to the property. A number of former members, completely disillusioned and depressed by events, have left the Railway. Richard Nicholl, the trackside manager, was devastated by the destruction of his life’s work and withdrew most of the equipment he had purchased. The new Society members have formed a cosy social group reminiscent of a branch of the Womens Institute. The only trained engineer has now [July 2015] left again after personal attacks against him and his family, and pressure from a Board with no railway experience. There is still a lack of trained railway personnel. Even when a stretch of track has been relaid it is hard to see how a regular train service can be maintained. The Railway’s reputation has been badly damaged and there are severe financial problems. There is no sign that the timber contractors have been pursued for the damage they have caused and no success in arranging the exchange of the landtrain for the Society’s diesel locomotive. Offers of help and information from past directors have been rejected.

Meanwhile, Dearing has escaped his creditors by going bankrupt and then setting up a new business in his former supermarket premises, this one selling furniture.
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I do wish the team on the ground at Teifi good luck, but don't hold much hope that we will see more than a very short railway there in the near future.

ghost · 30 Juli 2015

Zitat von Charobin: ↑

Some money? Lots!

Realistically a transplant to somewhere that isn't in the back end of nowhere to encourage greater visitor and volunteer numbers, plus a fairy godfather or two, are what the Teifi require. They are nearly starting from scratch after all - the fact they have been contacting railways asking to copy their rule book probably demonstrates how little the current team are starting from!

A 'Teifi Valley Railway Disaster' page has recently appeared on Facebook with the following statement, I suspect written by someone who was heavily involved. I recommend making a cuppa before you sit down and read it!:

I do wish the team on the ground at Teifi good luck, but don't hold much hope that we will see more than a very short railway there in the near future.
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I'm naming no names, but I don't think it would take a genius to work out who wrote that page!

Keith

Felix Holt · 30 Juli 2015

Well - all the more reason for the serious suggestion of a Gwili-TVR merger.
If I were the Gwili managers I'd be checking the reports on the bridges between the current head of line and Cynwil (Conwil) to see whether they'd take a narrow gauge train. The TVR used to run over about 2 miles; it may well be that there aren't 2 miles of serviceable rail available anymore, though. However, only 3 bridges need to be crossed (from the total of 8 on the northern part of the Gwili) to get to Cynwil and there'd probably be enough TVR rail to get most of the way.

How about it folks? Let's encourage the two railways to at least start talking to each other. Think: the only SG-NG combined line in the UK!!

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