Reports have surfaced that approximately 900 creditors to the turkey business, Bernard Matthews, will not be repaid a total of £23 million.
Bernard Matthews was recently sold to Boparan Private Office, the private investment vehicle of Ranjit Singh Boparan, the CEO of 2 Sisters Food Group, from Rutland Partners. The deal however means Boparan is not liable for the previous debts or pensions.
According to a report from the BBC, a letter sent to creditors by the administrators Deloitte confirmed that there was no money to settle the debts, aside from £600,000, which is required in administration situations.
The BBC writes that Deloitte said it was a “typical insolvency where there was not enough money to pay everyone back”.
Companies said to be affected include Tesco Stores and Annyalla Chicks, which have been reported to have lost approximately £1 million each.
In a statement Rutland Partners said it had invested significant funds into the Bernard Matthews business over the last three years.”
This story was originally published on a previous version of the Meat Management website and so there may be some missing images and formatting issues.
