Liquidator appointed to Limerick-based jewellery manufacturer
Anderson Ireland Ltd blames difficulties on economic downturn, market oversupply and increased competition
Mr Justice Michael Moriarty: agreed to appoint Kieran Wallace of KPMG as provisional liquidator of Anderson Ireland Ltd. Photograph: Frank Miller
A provisional liquidator has been appointed by the High Court to Co Limerick jewellery manufacturer Anderson Ireland Ltd.
Earlier this month the owners of Rathkeale-based Anderson announced that the firm was to shut with the loss of almost 170 jobs due to financial losses at its manufacturing facility.
Yesterday the company asked the High Court to appoint Kieran Wallace as provisional liquidator. His role would include identifying if any part of the business could be saved.
Mr Justice Michael Moriarty, who accepted that the company was insolvent and unable to pay its debts, agreed to appoint Mr Wallace of KPMG.
Barrister Declan Murphy, for Anderson, said the company believed this was best option for the workers, the creditors and the company.
He said the directors of the company had originally planned to go into voluntary liquidation but had changed course for commercial reasons. He said the liquidator would maintain the status quo, preserve the company’s assets and keep the business going in the short to medium term.
A court-supervised liquidator would also help identify if some or any parts of the business could be preserved and sold to a new buyer. This could help save some jobs.
Mr Murphy said that if the company entered into a voluntary liquidation the factory in Rathkeale would have to shut immediately. Discussions about the company’s future had also taken place with the workers, whose position would not be prejudiced by Mr Wallace’s appointment.
The judge, who had expressed concerns for the workforce, said he was satisfied to appoint an experienced insolvency practitioner such as Mr Wallace and adjourned the matter to a date in October.
Mr Murphy told the court that the company, which makes costume jewellery sold in Germany, Austria, France, Italy and Switzerland, had been in trouble for some time.
It had been taken over last December and had been subsidised by its parent company, PL Holdings. Its financial situation had not improved and a decision had been taken to close the Limerick factory.
The company blamed its difficulties on the downturn in the European economy, oversupply of product from Ireland and increased competition.
Siptu organiser Denis Gormalley, said: “Today, Siptu learned that Andersen Ireland Ltd is to move to put the company into court appointed liquidation. This move would likely be the final death knell for the plant.”