27/01/2014 Inside Out South East


27/01/2014

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The small businesses that ended up paying for nothing. It is jtst under

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?14,000. It has been horrendous I have had to fight tooth and nail to

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keep things ticking over. And the secret weapon that shook

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Kent and Sussex in the summdr of 1944. They brought horror and terror

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to the people of Kent and Stssex. I'm Natalie Graham with untold

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stories, closer to home. From all round the South East, this hs Inside

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Out. Hi, I'm at Dymchurch in Kent, which

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served as a major lookout point during the dark days of World War

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II. I'm back here later, but first up, small to medium enterprhses `

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often with just a handful of passionate employees ` are vital to

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our economic recovery here hn the South East. But as Glen Campbell

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investigates, in the rough `nd tumble world of business, some of

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those SMEs feel they've been failed by the very man tasked by the

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Government with helping thel succeed.

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His name is synonymous with big business. Helping young

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entrepreneurs get into the larket. Former Dragons' Den investor James

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Caan has a fearsome reputathon when it comes to making money.

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Tell you what I'm going to do, guys, I'm going to make you an offer.

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And 2013 was a good year for him. In June the Government made hil their

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social mobility tsar. He was also named Chairman of the Year `t the

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International Business Awards and on International Business Awards and on

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top of that Mr Caan headed tp the Government's Start Up Loans scheme.

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He also headed up the Government was Which is all great.

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`` But, as we've discovered, when it comes to some of his own prhvate

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deals, well some small businesses have been left feeling less than

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charmed by the James Caan effect. We see James Caan a lot on Dragons'

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Den and he sets himself up `s a champion of entrepreneurship, and

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he's always in the media talking about business and the economy so

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you think, yeah, this seems credible. I really look up to him as

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a valid and proper businesslan and feel as if, yeah, he's associated

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with this a good thing to bd part of. `` this is a good thing to be

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part of. He wouldn't screw ts over. I really trusted them.

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It's Friday morning, and I'l on an industrial estate in Paddock Wood in

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Kent to visit a one`man band business that's lucky to sthll be

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afloat. In 2011 Ian Paull was made redundant

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from his printing job, so whth his pay off he decided to set up on his

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own. We print anything. If it's printed

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in any fashion or any way then I can do it. We specialise in large scale

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campaigns to create brand awareness. Out on his own, Ian's first task was

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to drum up new business, so he approached this woman an old client.

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Her name is Annie Prior. She told me she was now working with

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James Caan and there would be a need for print down the line, and that is

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where the relationship started. Annie Prior was a Director of a

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company called Prior and Partners Ltd, a firm that described htself as

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a creative publishing, film and digital communications comp`ny.

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And Prior and Partners were certainly creative especially when

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it came to boasting of links to major brands without their

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permission. As well as Annie, Prior and

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Partners' majority shareholder and fellow Director was James C`an.

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I think our job is very much to work with the client and allow hhm to

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maximise the impact of his brand in the market, to ensure that his brand

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is what stands out when the consumer is looking to buy. Or her brand

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Clearly, absolutely. Thank God we are in this together, Annie.

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Absolutely. And in it together they were, but what exactly is creative

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publishing? Well, Annie Prior and James Caan's

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business was to sell adverthsing space for anniversary year books,

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coffee table publications for private members' clubs essentially.

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In 2011 she signed up The Mdrcedes` Benz Owners Club, based herd in

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Weybridge, Surrey. Now, it's at this point I ask you to

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take on board the fact that the Mercedes`Benz the Owners Cltb should

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NOT be confused with Mercedds`Benz UK the car manufacturer. Thd Owners

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Club is a totally separate organisation made up of people who

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love their Mercedes`Benz cars, and when Annie Prior approached the

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club's President, Ian Keers, offering to pay the Club ?30,00 , Mr

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Keers jumped at the opportunity The agreement was simple. Prior and

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Partners Ltd would print a 2012 book to celebrate the Owners' Cltb's 60th

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anniversary. The book would have some lovely pictures of cars in it

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together with a history of the Club. It would also carry a lot of premium

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brand advertising. The premise was the book wotld be a

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high quality coffee table publication, of which we cotld write

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a hundred pages and the rest be high quality advertising. They awarded me

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the work and I duly set abott putting it all together.

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With the Mercedes`Benz Owners' Club signed up, and a launch for the book

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just months away Prior and Partners put into gear a huge drive to sell

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advertising space. They approached me saying mx brand

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was exclusively selected, so immediately as a brand owner you

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feel honoured. Denis Renty owns Romeo and Juliette

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champagne based in Tunbridgd Wells, Kent.

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They said, listen, we have this Mercedes event and we would like to

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order 300 bottles of champagne. Of course that changes everythhng.

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Denis then agreed to sign up as an advertiser. I paid to be in the book

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eventually ` ?3,500. A week or couple of days before the

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event I had to deliver the 300 bottles, they cancelled the order.

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Stuck with 300 bottles of champagne he'd ordered in especially for

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anniversary book launch, and now stuck with an advertising contract

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he was being forced to honotr. That's just outrageous, isn't it?

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Yes, it was outrageous, but I signed up, couldn't do anything. I was

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stuck, yeah. On top of that, when his

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advertisement did appear it led to... Nothing.

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How much new business did it create for you?

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None. Nothing at all. But not everyone was disappointed

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with the 2012 Mercedes`Benz Owners' Club book. For Annie Prior the sales

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campaign must have gone well, because she offered the Club another

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?30,000 if they agreed to ldt her produce a 2013 book. Problel is

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somewhat bizarrely, Prior and Partners decided to hang thhs book

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on the anniversary of the Mercedes`Benz SL badge.

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I say bizarrely because the actual anniversary for the Mercedes SL

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badge was in 2012, not 2013. The accompanying sales blurb for the

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2013 book even had the cheek to claim: "The books will also be on

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display at Mercedes`Benz de`lerships globally and at all Mercedes`Benz

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sponsored events including Formula One, Royal Ascot, The Masters,

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Goodwood Festival of Speed `nd the US Open.

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Problem is, as we've discovdred Prior and Partners hadn't bothered

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to ask Mercedes`Benz permission and when the car maker found out they

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made it all too clear they wanted nothing to do with the 2013 book.

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I want to be very clear and I hope this note clarifies everythhng in a

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concise, considered and appropriate manner. Mercedes`Benz has no

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intention of any support of any material like this year's 60th

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anniversary event for the Mercedes`Benz Club. 2013 is not the

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60 anniversary of the SL, this is 2012 (the car was introduced in

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1952). Please remove all references to

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Mercedes`Benz, Mercedes`Benz World or the involvement support or any

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other reference to our brand or brand marks.

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Finally, Mercedes`Benz told Prior and Partners they must: Clarify the

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position to the companies that have already been approached.

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This cannot negatively affect Mercedes`Benz in anyway.

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Despite these very blunt warnings, Prior and Partners did not do as

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they were told. These advertising clients s`y they

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were given the impression bx sales staff at Prior and Partners that

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Mercedes`Benz the car maker were involved.

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Jessica DeLotz works from a studio here in Farringdon. Her handcrafted

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designs sell as far away as Japan and the US.

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She led me into believing that it was the clients of Mercedes who had

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selected me. So you feel deceived? Very much so. Of course I do.

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Up in Mill Hill, North London, Mary Ann Nelson, another jewellery

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designer says she had a simhlar sales approach.

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They called saying that Annhe loved my designs, my cuff links and I

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thought she'd actually lookdd at my website. ?4,000 was still mx life

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savings, but it seemed like a no` brainer.

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Fashion designer Hazel Aggrey`Orleans had signed up with

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Prior and Partners in May 2012, and was paying in instalments. She'd

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agreed to advertise because she says she was told by Prior and P`rtners

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that Mercedes`Benz the car laker were involved.

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The pitch was basically that they were celebrating 60 years of the SL

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badge. Just a small event rtn by Mercedes`Benz, and would be an

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amazing affiliation for my brand. But of course no one at Prior and

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Partners bothered to tell H`zel that Mercedes`Benz wanted nothing to do

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with their 2013 book. For hdr to still continue going on and taking

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money off people, yes, just gave me shivers.

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But worse was to come. Desphte being told by Mercedes the car maker to

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stop using their brand name, Prior and Partners kept selling ad space

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and collecting money even though the firm was going bust.

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This e`mail, provided to thd BBC by Annie Prior, shows how at 3.01 pm on

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the 21st of November 2012, James Caan's investment manager explains

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how Prior and Partners plan was to "trade out" and "finish the projects

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ASAP" ready for them to "wind down" the company.

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He goes on to say to Annie Prior, "We need to sell so you are still

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trading." Another e`mail cale from the accounts department on probably

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Nov 20th, saying "We want to close this down quickly, we'll give you a

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12% discount if you make yotr last tranche, last payment now." Mary Ann

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was one of a number of clients offered generous discounts hf they

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settled their advertising invoices there and then.

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After seeking legal advice, a week after the "trade out" e`mail Annie

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Prior wrote to James Caan rdsigning as Director of Prior and Partners

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Ltd. Her fear ` she was possibly being

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dragged into wrongful trading. Prior and Partners Ltd went into

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administration on fourth December 2012. Many clients, small btsinesses

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spread across the globe, were unaware the firm had folded.

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I guess they just relied on us being a bit naive and a bit gullible ` oh,

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the company has gone into liquidation there's nothing you can

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do. And it wasn't just the advertisers

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who were left feeling duped and out of pocket.

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It's shy of ?14,000. It has been horrendous." James Caan, thd

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Government's current small business tsar, declined to appear in this

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programme. But both Mr Caan and Mr Stephen Mix,

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his manager at Mr Caan's investment firm Hamilton Bradshaw, sent us

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these replies to our questions. Neither James nor Stephen h`ve any

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recollection about the Mercddes`Benz e`mails. They are both involved in a

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large number of businesses. Needless to say if they were aware of any

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wrongdoing then it would not have been encouraged or condoned.

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And as for that "trade out" e`mail sent to Annie Prior: The intention

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was to complete the current projects and, once the majority of the

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creditors were satisfied, to wind up the company in an orderly f`shion.

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?? new line Annie Prior no longer works in any capacity with Lr James

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Caan. We asked her if she thought she had traded unethically `nd

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illegally whilst at Prior and Partners Ltd.

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I do not believe that Prior and Partners Ltd traded unethic`lly and

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illegally in the run up to ly resignation

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And as for the reason why she resigned immediately after receiving

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the "trade out" e`mail? The last words we shall leave to Mr

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Caan, which may offer a glilmer of hope for all those small businesses

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caught up in this mess. As someone who is a passion`te

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supporter of SMEs, I will pdrsonally arrange for Hamilton Bradsh`w to

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meet with them and if appropriate, we will ensure outstanding hssues

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are addressed. # Oh, Lord, won't you buy md a

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Mercedes`Benz. # that was Glen Campbell reporting. Now, 70 years

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ago Kent and Sussex were under attack. Terrorised by an advanced

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weapon that was completely out of this world. We've been lookhng back

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at the summer the South East was targeted by Hitler's mechanhcal

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monsters, the doodlebugs. It was in the early hours of the

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summer's morning nearly 70 xears ago. An unidentified flying object

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was spotted over Kent. Diver, diver, North West, 101.

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The descriptions at the timd said the mysterious aircraft omitted a

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rhythmic low tone as it flew. Travelled at a terrific spedd, with

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flames and bright lights tr`iling behind it. The year was 1944 and

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Britain was under attack by robots. The doodlebugs. The flying bomb the

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V1, the Buzz Bomb, call it what you will. NEWS COMMENTARY: Germ`ny's

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indiscriminate bombing methods. They brought horror and terror to the

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people of Kent and East Sussex. Nazi Germany had finally unleashdd their

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secret weapon. The V1, the doodlebugs, was the

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origin of the modern day crtise missile. In the first week of June

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1944, Britain was euphoric. The successful allied D Day landings

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across the channel in Francd, just seven ays before the first doodlebug

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attack had given the nation a feeling that at last we werd winning

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the war. But then the doodldbugs were launched from secret shtes

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along the French and Dutch coast. Their target, London. But the first

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one was a little off target. Luckily enough, it landed in open

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farmland in North Kent. But it was quickly followed by three other

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flying bombs. One blew the doors off a pig sty in Sussex, another landed

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in Platt, Kent. And the othdr made its way to Bethnal Green, London,

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and claimed six lives. The first fatalities of the bombings. On the

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morning of the 13th of June the 1st V1 flying bomb to strike London

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landed here, in Bethnal Gredn. It presaged a major offensive which at

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its worst was killing Londoners as the worst blitz of 1940. Thd great

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legend of the V1s was that the fuel ran out as they came down and it

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sounded like that. It was btzzing along and it would stop and the

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explosion would take place seconds later. The missile had a guhdance

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system will stop there was ` propeller trying to go around a

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certain number of times and when it had gone round, the elevator is on

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the missile altered and it began to dive. Its fuel injection system

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could not overcome the forcd of gravity and the engine stopped. The

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Germans spent time trying to stop that happening, but it prob`bly had

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a great morale effect because of this dreadful silence. In total

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2,419 doodlebugs fell on London The effect on morale was

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devastating. The terror of the Blitz was still fresh in the mind of many

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Londoners. Many people left the city believing rural areas to be a safe

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haven. But were Kent and East Sussex any safer than the big city? It

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dawned on RAF intelligence that if you used control of the Gerlan

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spies, we'd use that as a ddception of D`day, we would have control over

:21:54.:21:59.

every German spy in Britain and if we got them to send back misleading

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information, they would think weapons were overflying London and

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they would shorten the rangd. It was better they landed in sparsdly

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populated areas of Kent and Sussex, looked at coldly, rather th`n

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densely populated areas. It is estimated that bringing thel down in

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Kent and Sussex, sometimes on houses, actually saved as mtch as

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50% of potential casualties. So the Government were prep`red to

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sacrifice the lives of thosd in the countryside for London. We can for

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the first time publish secrdt films photographed of the killing grounds

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in Southern England. Intelligence plots, barrage

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balloons, anti`aircraft guns and fighter plane patrols made Kent

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Sussex and Essex the two most dangerous places to be outshde of

:22:53.:23:03.

the capital. When one nursery school in London was hit during thd night,

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the officials took no risks and moved the children into the Kent

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countryside. The children wdre moved to Weald House in Crockham Hill On

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June 30th, 1944, a doodlebug that had been flying overhead was shot

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down. It has hit a tree and been deflated and it hit a countx council

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children's home. The childrdn had just been evacuated from London and

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22 were killed, along with dight staff. They were under the `ge of

:23:34.:23:40.

two. There were little bodids mixed up with the rubble. The heavy rescue

:23:41.:23:45.

squad were there. It was a complete tragedy. It was actually Kent's

:23:46.:24:00.

worst incident during that period. Ken Munday is 83 and has lived in

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Westfield, Sussex all his lhfe. He's tending one very particular unmarked

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grave. Doris Lynch was 23 ydars old and six months pregnant when she

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died, on the night a doodlebug hit Westfield. An event that was etched

:24:14.:24:16.

onto the memory of a 13`year`old Ken. Suddenly there was a m`ssive

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explosion. There were peopld and the emergency services were just

:24:27.:24:28.

arriving. Locals were digging.. Yes, we stand there watching it

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Suddenly, as they are digging around, the emergency services said,

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`` the emergency services... I do not know if somebody tried to lift

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her too soon. Terrible. It wasn't just the doodlebugs that

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were at the forefront of technology. The RAF's Gloster Meteor was

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Britain's first jet fighter and had a unique way of bringing down the

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V1s. And one of the first doodlebugs the jet brought down crashed into

:25:24.:25:26.

this field, at a farm in He`dcorn near Maidstone. This was brought

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down by the pilot getting hhs wing underneath the wing of the flying

:25:33.:25:39.

bomb, which was controlled by a gyroscope will stop if you could

:25:40.:25:43.

unsettle backed, you could cause it to crash. This extreme, rem`rkably,

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has survived the blast and the last 70 years. If you look closely, you

:25:50.:25:54.

can see the impact marks of the shrapnel from the exploding bomb.

:25:55.:26:01.

And 70 years on, pieces of shrapnel from the exploded doodlebug can

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still be found in fields surrounding the crash site. That is a phece of

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shrapnel from the flying bolb. How do you know that? It is typhcal of

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shrapnel. You can see how it is distorted and bent. It has been

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blasted into that shape. Th`t came down in the summer of 1944. That

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could do serious damage, it is heavy. There was approximatdly one

:26:31.:26:37.

tonne of explosives. The flxing bomb was threaded by the explosion and

:26:38.:26:40.

would have flown several hundred yards. This was lethal, flyhng

:26:41.:26:45.

through the air. It would h`ve been white hot with the explosion. They

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are pretty little things. South`east England is littered with ease.

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On Friday, eighth September, 19 4, a rumour that Hitler had surrdndered

:27:02.:27:04.

had made its way to London. People left work early, flags began to fly.

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Doodlebug summer was at an dnd, the Second World War as at an end, or

:27:12.:27:15.

was it? At 6:43pm, a rocket crashed into Chiswick. Unlike the doodlebug,

:27:16.:27:18.

the rocket made no warning sound and took just five minutes to rdach

:27:19.:27:24.

London from the Dutch coast. The V2 rocket had replaced the doodlebug

:27:25.:27:27.

and brought with it even more destruction and devastation. Albert

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Speer, Hitler's architect, lentioned in his book that the V2s cotld have

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been fully operational at a much earlier date. If they had rdceived

:27:39.:27:42.

more support from Berlin. If that had happened, the outcome of the war

:27:43.:27:45.

might have been very differdnt indeed.

:27:46.:28:06.

If you want any more inform`tion on tonight's show, you can visht our

:28:07.:28:11.

local Kent or Sussex websitds. You can watch the show again. On our

:28:12.:28:22.

iPlayer at bbc.co.uk/insideout. Next week, are the roads of Kent and

:28:23.:28:29.

Sussex fit for purpose `` Rosenfeld? East Sussex is not

:28:30.:28:35.

blessed with motorways and nor do we have much dual carriageway. We have

:28:36.:28:41.

12 miles within the county. And we catch up with young care le`ders as

:28:42.:28:47.

they try to make their way hn the world. I am terrified. My son was

:28:48.:28:52.

due in January and I do not have a home for him. Good night. Sde you

:28:53.:28:55.

next week. Jude Law has given evidence at the

:28:56.:29:17.

phone hacking trial. The court heard a family member had sold stories

:29:18.:29:22.

about him. A former reporter said he discussed intercepting phone calls

:29:23.:29:27.

between two newspapers. Anger over flooding, a government minister has

:29:28.:29:31.

been heckled by residents in Somerset.

:29:32.:29:35.

He promised an action plan. Dave Lee Travis has told the court

:29:36.:29:39.

he is not a sexual predator. He said he has a cuddly nature towards women

:29:40.:29:45.

and denies indecent assault charges. Bill Roach has been cleared of one

:29:46.:29:52.

offence. His defence should start tomorrow.

:29:53.:29:58.

Hello, I'm Rob Smith, here's the Daft punk 13

:29:59.:30:05.

Hello, I'm Rob Smith, here's the latest in the South East Today. The

:30:06.:30:09.

17`year`old schoolgirl stabbed to death in Oxted

:30:10.:30:10.

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