Why a great celebration of steam crashed off the track

It was planned to bring together some of the world's most famous trains over the August Bank Holiday to celebrate the 175th anniversary of the Darlington to Stockton railway, the world's first passenger line.

More than 200,000 people were expected to visit four sites in Darlington, Shildon, and Newton Aycliffe to see them in action.

Who are Rail 2000, the organisers of the Cavalcade of Steam event?

A Rail 2000 Management Services Ltd began trading in October 1998.

It is described as an events management company and was set up specifically to organise the Cavalcade of Steam and associated events.

These were to include a proposed international conference being held in Newcastle on the future of railway.

The company is registered at Sterling House, St Cuthbert's Way, Darlington.

Its chairman and principal shareholder is David Champion, 51, of Espley Hall, Morpeth.

Former director Tony Baker, a BBC Television presenter, had been a partner in Rail 2000, but he resigned last year citing differences with Mr Champion.

Accounts for Rail 2000 show that for the 26-week trading period ending March 31, 1999, it recorded pre-tax losses of around £83,000.

Who else was involved?

Train operator Virgin had recently lent a senior executive to the project to head the operational side of the cavalcade.

Virgin had also pledged to help with the advertising needed for the celebration.

Railtrack and Northern Spirit were also supporters. Darlington, Sedgefield and Stockton Borough Councils were also backing the project.

Who was paying for the event?

Exact details of funding are sketchy, but estimates put the eventual total cost of the cavalcade at about £2.5m.

The Northern Echo understands that Rail 2000 chairman David Champion had himself invested a substantial amount in the project.

Darlington and Sedgefield Borough Councils had both offered loans of £25,000.

Organisers were relying heavily on pre-ticket sales as a source of income, but these had been very disappointing.

About 6,000 had been sold through an official ticket agen-cy, Way-Ahead, with prices ranging between £8 and £45.

In total, including tour operators, 20,000 tickets had been sold, way below the threshold of 160,000 needed for the event to break even.

Why can't the event go ahead?

Organisers of the event say that the loss of its major investor meant it was impossible to fund the remaining work that needed to be done before the cavalcade took place. In effect, they ran out of time.

Contracts needed to be signed and exchanged by last week at the latest, so that the trains needing to be transported to the North-East for the cavalcade could be in place.

To wait until income had been realised from ticket sales could have been a risk, given the poor pre-sales.

How do people get their money back?

Rail 2000 has previously issued advice that people who bought tickets should contact their agent for a refund.

The Nottingham-based Way Ahead, which was selling tickets through the official Cavalcade of Steam hotline, says that refunds will be paid within 28 days.

What alternative is on offer in place of the Cavalcade of Steam event?

Darlington Borough Council says it will throw its weight behind the Railway Carnival, which takes place in the town's railway museum in September.

Sedgefield Borough Council, meanwhile, says it may plan a celebration around the returning Sans Pareil train.

The train, owned by the council, was one of the earliest locomotives and was designed by Timothy Hackworth. It is being repaired in the West Midlands, before its return next month.

What happens now to Rail 2000?

The future of Rail 2000 itself is uncertain.

The company's website, set up to promote the steam event, has closed down.

Efforts to contact its registered office are met with a recorded message saying that the telephone number is no longer in use and that the cavalcade has been cancelled.

Chairman David Champion was unavailable last night.