An investigation is underway to trace more than £2 million in plant and equipment that has apparently gone missing from the premises and sites of defunct demolition contractor, Squibb Group.
The company went under having tried and failed to strike a Company Voluntary Arrangement (CVA). In the CVA proposal it was estimated the company owned outright plant and equipment worth £2.5m plus cars worth £264,000 and £200,000 of scrap metal.
But auctioneers sent in by the liquidators to value the assets only found plant and equipment worth £167,000 at the company’s sites. There was also no sign of any scrap metal or cars.
A report from the replacement liquidators Interfaith (who replaced Gordon Brothers) states:
“It was estimated in the Creditors Voluntary Arrangement proposal dated 18 October 2023 that the Company owned unencumbered plant and machinery with a book value of approximately £2.5 million, scrap metal with a book value of approximately £200,000, office equipment with a book value of approximately £32,000, motor vehicles with a book value of approximately £264,000 and fixtures and fittings with a book value of approximately £24,000.
Gordon Brothers identified unencumbered plant & machinery at the Company’s sites with a market value of £167,000. These items realised £100,610 from an auction on 4 April 2024 and from one item sold by private treaty in December 2023. The market value of the plant and machinery identified and realised by Gordon Brothers is significantly less than the book value stated in the CVA Proposal, and this variance will be investigated by the Joint Liquidators.
We understand from Gordon Brothers that there was no scrap metal, vehicles, office equipment, or fixtures & fittings at the Company’s premises. The fate of these assets will be investigated by the Joint Liquidators.”
