Global creditors go for broke
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III Creditors of Global Transportation, the freight forwarder which is trying to trade out of a £50,000 debt, are pressing ahead with moves to wind up the company despite its director's offer of a creditors meeting and plans to pay them in full.
Global director Mike Mitchell says that some of the creditors he has tried to contact have not returned his calls. However, the creators deny they have heard from Mitchell and say they will only halt the legal action when they get their money.
One creditor, who is owed E4,000, says: -If he can't pay that amount he's obviously in big trouble. Besides, it's more the principle of it now."
Another creditor, who is owed £6.000, says: It's too late for meetings--we've paid money to initiate winding up proceed
ings. He's had plenty of chances."
Mitchell says: "I'm disappointed people won't give me the opportunity to provide them with a statement of affairs, I want to trade out of this situation. We will not be wound up by anybody. The business went wrong due to a bad investment and I'm trying to resolve the matter. If the creditor who's
owed £6.000 returns my calls maybe I'll send him a cheque, but I dispute some of the other creditor's debt."
If the creditors continue with the winding up order, says Mitchell, he will apply for it to be put aside. He has also promised to show CM a statement detailing the circumstances behind the company's problems.