Collapsed contractor still owes millions to creditors
A balance of just £3,406 has been secured for creditors of a failed Nottingham construction firm, TheBusinessDesk.com understands.
DAKO Construction called in administrators from Quantuma on January 20. Shortly after, some 30 staff were made redundant.
It emerged in March that the firm owed over £4.6m to creditors. However, an administrators update shows that just over £3,400 has so far been recouped from debtors in the six months since Quantuma was called in.
The update from Quatuma says it is “difficult” to estimate anticipated collections from debtors as several balances rely on the time and cost yet to be incurred by clients in completing ongoing projects.
Meanwhile, the original Statement of Affairs showed that over £750,000 was owed to DAKO Construction by connected entities, but that several of these debtors have also entered an insolvency process.
DAKO’s major creditors include Maven Capital Partners (over £510,000), MJH Developments (over £185,000), AJG Holdings (almost £96,000) and BP Mitchell Haulage Contractors (almost £82,000).
DAKO, which turned over £15m a year, filed for administration after soaring materials prices and “recent non-payment from certain clients” made its financial situation untenable.
The company had completed a number of residential projects in Bristol and Nottingham for Study Inn.
Back in January when the news first broke, a number of DAKO’s creditors took to social media to reveal they had missed out as a result of the contractor’s apparent demise.
