Contractor owed supply chain £300m at time ot its collapse
Administrators at Buckingham have said more than half of the near 1,300 unsecured creditors of the collapsed contractor have yet to lodge claims.
In an update on the administration, Grant Thornton said it was still waiting for 711 of the unsecured creditors to file their claims.
The firm said it estimated the value of these to be £37m in total, to go along with the 685 creditors that have lodged claims totalling £263m.
But Grant Thornton’s report admitted: “At present there is unlikely to be a dividend payable to unsecured creditors.”
Buckingham, which had been targeting a £700m turnover in 2023, collapsed two years ago with nearly 500 jobs lost. Grant Thornton initially estimated the amount owed to the supply chain at just over £108m.
In its latest report, Grant Thornton said: “It continues to be our belief that there are significant sums due to the Company and work will continue to be undertaken to progress discussions and potential commercial or litigation strategies for recovering these amounts, where possible. In each case, the decision to pursue debtors through legal channels is considered by reference to the benefit to the estate.”
It added that it was contemplating legal proceedings against one debtor and added: “The debtor has been given a short period of time to accept an informal settlement offer. Should the offer not be accepted by the given deadline, the Joint Administrators have instructed their solicitors to issue proceedings.” But it warned the process could take two years to reach a judgement.
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