Beleaguered practice will recoup just over a third of Abu Dhabi debt

Troubled architect Austin-Smith Lord will recoup barely more than one-third of the £4m owed to it by Abu Dhabi client Adach, according to a report from insolvency practitioner BDO.

The practice, which was forced to close its London office earlier this month, ran into trouble last year when Adach refused to pay fees totalling £11.5 million for its work as lead consultant on the Qasr al-Hosn cultural quarter in Abu Dhabi (pictured).

Building’s sister title BD reported that while some of that amount had since been paid to other parties, the architect has now been offered just £1.5 million.

It said that according to the BDO report, the firm may receive less than half of the £1.5m after claims by 14 former staff in Abu Dhabi were dealt with.

Meanwhile, increasing numbers of UK staff have made unfair dismissal claims in an attempt to recoup the remainder of their unpaid salaries.

A former staff member who has filed an unfair dismissal claim told BD: “We are all owed certain sums of money and it’s difficult getting that money from the CVA process.

“The employment tribunal simply strengthens our case. I believe the practice is still pursuing the sums of money that are owed to them. We are not very well informed.”

ASL declined to comment.