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Wednesday, 21 August 2013

Montgomery Tomlinson Limited in administration

Montgomery Tomlinson Limited of Flintshire, the curtain and accessories supplier,  has gone into administration with KPMG appointed as administrators.  This follows a collapsed deal to sell the company.

530 redundancies have been made across its 123 department concessions  Also, the salaries for August are not going to be paid.

Wright said, “Despite the tireless efforts of the directors to secure a sale of, or investment in the business over the last four weeks, it has been impossible to find a workable solution to enable the company to continue to trade and they have made the difficult decision to appoint administrators.

“As a result of an increasingly competitive marketplace, a fall in sales left Montgomery Tomlinson critically short of cash and unable to meet its liabilities.

“Given the cash position of the business, unfortunately there are insufficient funds to make payments for August salaries and we will be working as hard as possible to assist employees in their claims to the Redundancy Payments Office.”

Ok, so if you are an employee and would like to know what you are entitled to then read this page on help for employees.  Effectively you will be entitled to arrears of pay, holiday pay and lieu of notice up to a maximum of £450 pw.  You will also receive redundancy as per the statutory limits.


2 comments :

  1. The Managers and Directors of Montgomery should be ashamed of themselves for the way they handled this..something should have been done sooner.
    This has all been a strategy to continue to trade in some way shape or form.
    The 'administration' enables them to get away with not paying staff and having the luxury of starting from scratch again.
    Pass the buck to the Government - cowards way out!
    They dont seem to have any concerns about putting strain on all of its hosts such as Debenhams who will take the brunt of their poor business management.
    Thats loyalty for you.
    I dont doubt that they have something up their sleeve,but Im glad to say after letting down so many people nobody will ever trust their management abilites again!
    PEOPLE DONT FORGET!

    ReplyDelete
  2. I agree with you. As a retailer we have been left totally in the lurch with lost orders, upset customers and loss of customers own fabric which we have sent to Montgomery for making up. I even purchased a load of books and display last month which Im really angry about. What upset me most was the lack of information, we only found out because we called to chase an order, there has been no letter and all of this happened just as we were about to pay our invoice... very under handed. I feel especially sorry for all of the staff and I wish them luck in the future.

    ReplyDelete

Many thanks for your comments. If you have a private business problem and you want advice give us a call on 0800 9700 539 or email me at keiths@companyrescue.co.uk. If you are a professional advisor with a troubled client, please suggest they visit www.companyrescue.co.uk or contact me as above.

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