Unsecured creditors of failed long-haul operator Dreamticket.com have been told they can expect to see some of the £5.3 million claimed from creditors paid back.
The latest administrator’s report on the collapse in May last year that left 600 holidaymakers abroad and 4,000 forward bookings, saw the company put into formal liquidation.
The report into the collapse of Dreamticket parent Selsdon Travel, by insolvency specialists Antony, Batty & Company, contained good news for former staff who were told £76,941 of outstanding wages would be paid in full.
Secured creditor Lloyds Banking Group will also receive the £166,277 owed to it following the sale of Selsdon’s business premises in Purley which it helped finance the purchase of in 2008.
But unsecured creditors will receive only a dividend of the amount owed, rather than the full amount, although the exact figure could not be ascertained at the time the report was written.
Dreamticket owner Selsdon Travel ceased trading on May 23 despite promise of investment from a new backer just three months previously.
It had been reported in the previous March that private equity investor and online specialist Hatfield Investments had bought a majority shareholding in the retailer and call centre and that it planned to invest in the company including updating its technology.
The firm turned over about £35 million and in 2008 it was included in the Sunday Times Tech Track 100 that listed the UK’s fastest-growing technology companies.
Selsdon was said to be the first of about 20 travel firms that Hatfield was looking to invest in and, as part of the deal, Levy Benarroch became chief executive and his wife, Lynne, managing director.
In the early days of the administration Travolution reported the assets were sold to Tropical Sky. The administrator’s report stated its intellectual property right were sold to two interested parties for a total of £60,000.