Food company has debts of over £500,000

CHIEFTAIN Foods International, the dairy food distributor in Bray, Co Wicklow, has gone into liquidation with debts of over £500,000.

Preferential creditors are owed £110,029. The company's assets are expected to realise only £50,333. Unsecured creditors, who are owed £433,000, will get nothing, according to the directors' statement of affairs.

Preferential creditors include the Revenue Commissioners who are owed £77,000 and employees who are owed £31,000. The Revenue is also an unsecured creditor for £137,000.

According to the statement of affairs, Chieftain has debtors of £105,144. But Ulster Bank Commercial Services must be paid £87,000 out of this amount leaving a net amount of £18,144 to be realised from debtors.

The company owes creditors a total of £543,517, but its assets are estimated to realise just £50,333.

The statement of affairs shows that plant and equipment are valued at £55,000, but are estimated to realise just £25,000 and fixtures and fittings are valued at £15,000, but will realise just £5,000.

Other unsecured creditors include Fromageries Bel (owed £33,667), Kilternan Commercials (£32,000), Biscuits Delacre (£25,000), Remia (£22,000), Batchelors (£7,808), Musgrave (£4,114) and American Express (£5,000).

Mr Michael McGuirk, of Michael J McGuirk & Co, accountants in Monkstown, Co Dublin, was appointed liquidator at a creditors' meeting this week. It is understood that few creditors attended the meeting. The statement of affairs does not provide for the costs of the winding-up.

It is understood the company had been experiencing difficulties for some time. Its core distribution product was Danone yoghurts and it was a well-known company within the retail trade.

The company bad lost the St Ivel brand for distribution and it is understood that the matter is currently the subject of legal proceedings.