Collapsed engineering contractor left behind £5.9m debt
An East Midlands engineering contractor that ceased trading at the beginning of October has left behind it a substantial debt to creditors.
According to documents prepared by administrators from Begbies Traynor, those owed money by MJL Midlands, which was based in Wellingborough, are facing a shortfall of almost £5.9m from the collapsed firm.
MJL Midlands, formerly E7 Building Services, was based in Wellingborough, but has been dragged into the troubles faced by its owner, Michael J Lonsdale, which operates predominantly in the London area.
In a letter to staff obtained by Construction Enquirer, directors Gary Herbert, Michael Hoodless, Kevin Feerick, Panny Hadjioannou, Mark Heath, Andy Shearlaw and Kerry Noblett blamed supply chain disruption, Covid, Brexit and “surging inflation” for bringing in administrators.
The letter ends: “We would like to extend our deepest gratitude to each one of you for your unwavering dedication and contributions to MJL over the years.
“Today is an exceptionally difficult and sombre day for all of us. We wish you all the very best for your future endeavours.”
In the year to the end of September 2022, MJL Midlands made a loss of just over £1m. The firm employed an average of 28 people over the previous 12 months – but only 10 of those remained when the firm went under.
