Shropshire construction company Frank Galliers, which shut down with the loss of more than 130 jobs, is being liquidated after running out of cash.

The company closed the offices and locked the gates at its Oxon Business Park headquarters, in Shrewsbury, after becoming insolvent despite a multi-million order book. Accountants BDO in Birmingham yesterday confirmed it was “assisting” Frank Galliers’ directors George Butler and Kevin Connolly ahead of formal liquidation proceedings expected later this month.

The company’s work on several high-profile developments including the £7 million Oswald Park Leisure Centre in Oswestry and the £1.3 million Bishop’s Castle Community Hospital has been halted.

It is understood that the company will undergo a Creditors Voluntary Liquidation, where the directors of the company wind the company up and do not have enough cash or assets to pay all the creditors.

The latest accounts held at Companies House, for the year ending December 2007, show the company made a trading profit of £120,382 but had debts of around £7.3 million, including more than £5 million owed to trade creditors.

Days before the doors were shut, the Centre for Alternative Technology on Machynlleth was given a “significant settlement” following a dispute with Frank Galliers over work on a £5.4 million building project.

Emma Line, from BDO, said notices were being sent out to creditors today about a meeting where it is expected BDO will be appointed the liquidators of Frank Galliers.

“We have not been instructed as liquidators as yet but we have been assisting the directors,” she added.

No-one from Frank Galliers was available to comment today.