On 29 December 2018, it emerged that Grayling's department had awarded £46.6m to French firm Brittany Ferries, £42.5m to Danish shipping firm DFDS, and £13.8m to British firm Seaborne Freight, to provide additional cross-channel freight capacity in case of a "no-deal" Brexit on 29 March 2019. On 2 January 2019, it emerged that Seaborne Freight had never run a ferry service and owned no ships. The Road Haulage Association said the firm had an impossible timescale in which to "source ferries, hire and train staff and link with relevant authorities". Despite Grayling's assurance that the usual procurement due diligence procedures had been followed, it was later revealed that Seaborne Freight issued terms and conditions designed for a food delivery business not ferries, that its chief executive previously ran a ship chartering business that was forced into liquidation following court petitions from HM Revenue and Customs (HMRC), and that auditors performing the due diligence checks had reported serious concerns about the contract. In relation to the prior court action by HMRC against Seaborne Freight's chief executive, the amount of unpaid tax was not reported, but the former company had a total of £1.78 million in unpaid debts.