MOVES to close the legal loopholes that allow companies fined under British law to avoid paying have been backed by Thanet South MP Stephen Ladyman.

A Swedish company fined £750,000 following the collapse of a walkway at Port Ramsgate eight years ago has yet to pay its fine.

Euro-MPs want the legal framework tightened so that there is joint recognition of criminal penalties by European Union member states.

Dr Ladyman says that this means that business like the company that built the walkway would not be able to escape payment. He said: "It is good news that these moves are under way. The failure of companies to pay the fines imposed on them added insult to the injury already done to the families of the victims."

He raised the issue with the British Government in May 1998.

This week he said: "I am delighted that the EU is now moving. The next step is for the change to be approved by the Council of Ministers. I will press them to do so as soon as possible."

The walkway collapse in 1994 left six people dead and seven injured. In 1997 a total fine of £1.7 million was imposed for a breach of health and safety laws. As well as the Swedish fine, Lloyd's Register of Shipping, which certified the walkway, was fined £500,000, the designers were fined £250,000 and Port Ramsgate had to pay £200,000.

Once approved by the European Parliament, the proposals to introduce an EU system of mutual recognition of financial penalties must be approved by EU government ministers before becoming law.