In 2007 I was a Director of a Company called Real Estate Bodrum Ltd and we paid for exhibition space to a company called Blendon Communications. Needless to say they then went into “Creditors’ Voluntary Liquidation” owing an awful lot of money.
Of course the Directors of the company did all right. They went with the magazine publishing arm of the company and I see from this post http://www.globaledge.co.uk/news/trinity-mirror-sells-homes-overseas-33219 that they once again own the magazines. No doubt “business as usual”
But what about the poor old companies that were the creditors? Well since the liquidators were appointed they have managed to recover just over £265k – big deal considering millions were owed. But what I find particularly galling is that of this money over £122k has been paid to the liquidators. Nice work if you can get it!
Their rates are, as usual in the financial world, not on the same planet as the rest of the population charging from £440.50 for an hour of a Director’s time down to £65.25 for support staff.
The Directors of Blendon Communications bounced a refund cheque on us three times which from the emails at the time, it was obvious that they new that they did not have the necessary funds – I believe this is called fraud!
To cap it all the liquidators state “I have reviewed the books and records of the Company…. My findings which are confidential, have been duly conveyed to the Secretary for State for Trade and Industry” so I won’t even be able to find out if they have made any reference to this probable fraudulent activity which was reported to them.
The moral of the story – try not to pay for anything up front especially in any business dealings concerning Globespan Media (formerly Blendon Communications.