Creditors call for care home businesses to be put into administration

Creditors are calling for a North West based business to be closed down after a series of projects failed to get off the ground.

Investors in MBI Walsden Care Limited, MBI Hawthorn Care Limited, MBI Clifton Moor Limited and Afan Valley Limited have filed an application with the high court in London to appoint Philip Duffy and Sarah Bell, both of Duff & Phelps, as joint administrators.

The companies are now subject to the administration application.

Philip Duffy said: “This case has had considerable media interest over the past few days and as such we are aware that there are hundreds of other creditor investors. If any of those creditors wish to contact us, we have set up a dedicated email address and hotline number.“

The petition was launched following an investigation into the activities of businessman Gavin Woodhouse.

Gavin Woodhouse won backing from investors for plans to build care homes in the North West and a adventure park in Wales

However, seven investors who put their savings into businesses owned by Mr Woodhouse have taken legal action.

They have applied to the High Court to have four of his companies taken into administration.

The companies concerned include three incomplete care home projects – MBI Clifton Moor Limited in Tyldesley, Greater Manchester, MBI Walsden Care Limited in Calderdale and MBI Hawthorn Care Limited in Burnley.

The petition also includes the £200m adventure resort project in Wales.

Mr Woodhouse has raised millions of pounds from investors for the projects but has failed to build the care homes as planned.

Phil Duffy, Managing Director of Duff & Phelps told ITV News: “The latest publicly filed accounts of those four companies show them all to be insolvent on a balance sheet basis, so creditors are concerned they are not going to get their money back.”

The administration application is expected to be heard by a judge in the next few weeks, who will decide whether to grant the orders.

TV presenter Bear Grylls appeared in a marketing video for the adventure resort and said he had decided to base the Bear Grylls Survival Academy there.

In a statement released to ITV News, the Bear Grylls Survival Academy said they had been “made aware of the recent allegations brought against Mr Woodhouse and are naturally concerned about the seriousness of the charges.

“As such, we are conducting a full internal review of the relationship while we wait for all facts to materialise and plan to take all necessary steps to ensure the integrity of our business.

“The Academy continues to have a vision to bring adventure to people of all ages around the world and it stands by that commitment to the community of South Wales.”