Lounge (Leeds) Ltd (07609625): administration
- Status
- Administration ended
- Administration began
- 2012-12-21
- Administrators
- Julian Pitts, Kirstie Jane Provan
- Administrators' firm
- Begbies Traynor
- Formerly
- LLTC Ltd
- Incorporated
- 2011-04-19
- Location
- Leeds
- Industry
- 56302 Public houses and bars
Why it went into administration
- Funding withdrawn / unable to refinance
From the administrators' statement
The Company was incorporated in April 2011 as part of a wider property portfolio amassed over a number of years in the leisure industry by the director, Phibp Barker The portfolio, of which the Company formed a small part, was funded principally through significant lending from Santander UK plc (“the Bank”)
Recently, the portfolio as a whole began to expenence financial difficulties as a consequence of the economic downturn affecting the leisure industry In addition, the alleged behaviour of a number of third parties during dealings with the director also directly contributed to the detenorating financial plight of the Company It is alleged that certain transactions were entered into, that have resulted in claims against other parts of the portfolio, or the director personally These allegations are being investigated by the appropriate authorities, but although they impacted on the Company by the wider funding issues of the portfolio, it is understood that this Company was not directly affected by the alleged actions
The Bank approached the London office of Begbies Traynor to provide a brief review of the Company's financial position prior to our appointment as joint administrators The review focused on the current financial position of the Company and on the potential ways to reduce the Bank's exposure
Administrators' statement of proposals (2013-02-28) · Companies House register