Manufactuiring firm DMI (UK) collapsed into administration owing more than £3,750,000 to a list of creditors, a report reveals.
A meeting of creditors has been called by Baker Tilly, administrators acting for failed electro-plating firm DMI (UK) Ltd since they were appointed in January.
All 23 members of staff lost their jobs when the firm ceased trading but managers had been hopeful that the administrators, Ian William Kings and Steven Philip Ross, would be able to find a buyer.
However, a spokesman for Baker Tilly said the firm is now working to recover what they can for creditors.
An administrators’ proposals document filed at Companies House show that the employees are the only preferential creditors, who are owed salaries and holiday pay. A long list of other company creditors show some £3,751,000 is owed.
Book debts totalling £308,978 has been discounted to just over £245,000 to provide for doubtful debts and collection costs and the site of the business is up for sale at West Chirton Industrial Estate and is being marketed by Sanderson Weatherall.
Kings and Ross have decided to hold the meeting by correspondence, inviting creditors to get in touch by this Thursday, March 13, when a vote will be made on their proposals to market and sell the company’s assets and collect the book debts.