Established Shropshire construction firm goes bust
An established and "well respected" Shropshire building company has gone bust owing hundreds of thousands of pounds to creditors.
Shrewsbury-based JR Slee Building and Joinery Contractors Limited is understood to have been owed a 'low six figure' sum by a major national organisation following a contract dispute.
The business is understood to have been slowly wound down with the last few employees now redundant. It also had a network of sub-contractors who are now owed money.
A meeting of creditors was being held in Bridgnorth on Wednesday afternoon with a view to officially appointing a liquidator.
Graham Leddington of G Leddington Electrical Limited, said his company is owed £32,800.
Mr Leddington, in a pre-creditors meeting, said other firms he was with were owed £80,000 and £54,000.
"We understand that the total amount owed is around £450,000," he said.
"It does not put my company at risk but I have heard of one owed a smaller sum has gone," said Mr Leddington. "I have worked for the family behind the company for 51 years.
"It was a well respected and trusted company," he added.
JR Slee Building and Joinery Contractors Limited is listed at Companies House as being incorporated in July, 2002.
Its last director is listed as Helen Slee, with John and Rosemary Slee, of Hollywell Farm, Ryton, Shrewsbury, resigning as directors in February 2022.
Insolvency practitioner Rob Cundy, who is in line to be appointed as liquidator at the company if creditors agree said: "The company will be going into liquidation.
"They were owed a low six figure sum by a principle customer so they did not pay the creditors.
"The customer is a large, well respected organisation," he said.
"There is nothing to suspect that they wouldn't pay. The contract went sideways and there was a dispute in the situation."
"If they had paid there would have been enough to sort out all the creditors."
Mr Cundy said if he is appointed at the meeting a full statement of company affairs will be posted within the next few days.
"Creditors are owed a low six figure sum and the debt is similar so it is a like for like situation."
Mr Cundy said whoever is appointed as liquidator will be tasked with realising the assets of the company for creditors.
"They will also have to check for legality of how the directors have been running the company," he added.
But he anticipated a "significant shortfall unless other assets are found."
"I anticipate a fairly significant shortfall to creditors," he said.
Creditors are dealt with in order with employees, banks and the taxman at the top with everybody else beneath them.
He added: "It is always a shame when a well-established company that works hard finds itself in a situation where creditors can't be paid.
"If the directors' explanation of affairs is true it is a shame that they have found themselves in this situation."
Mr Leddington said he did not anticipate getting anything back from his losses.
He said he has seen a list of 30 to 40 creditors.
"We are at the very, very bottom of the pile and it is very unlikely that we will have very much at all.
"We have lots of questions to ask."