AM Widdowson & Son's administrator, Leonard Curtis, is pursuing the sale-guarantor for arrears relating to last year’s deal, according to a progress report.
AM Widdowson & Son was sold in a pre-pack deal for £2.5m to Widdowson Logistics last year, a business “associated by the common ownership” of HLD Group.
A non-cash consideration of £2m was satisfied via the sale of book debts and goodwill.
This left a cash consideration of £176,000 to be paid in instalments, the final of which is due 6 May 2017.
The administrator’s progress report shows £20,000 was paid on completion of the sale with further payments of £16,500, £15,500 and another £15,500 received since.
The last payment made under the schedule was on 6 October 2016.
The administrator’s newly released report, dated 3 February, suggested at least three payments were overdue with a fourth imminent.
In the report, Leonard Curtis said that following purchaser Widdowson Logistics' collapse into administration on 23 January this year, the outstanding £108,500 had been passed on to connected business Davis Haulage Group.
Davis Haulage Group (DHG) and Widdowson Logistics are linked by a common director (thought to be MD Damion Davis).
Both are ultimately owned by Demis Armen Ohandjanian’s HLD Group, which was also the owner of AM Widdowson & Son.
“The joint administrators are currently in correspondence with DHG with regards to payment to settle the arrears of sale consideration in the sum of £108,500.
"If DHG does not maintain payments proposals, steps will be taken to enforce the security held,” the report said.
Last year’s sale left unsecured creditors £13m out of pocket, and the latest report confirmed Leonard Curtis’s initial assessment that there would be no money available to reimburse them.