Fraser Eagle administrators recover £2.75m (From Lancashire Telegraph)

Fraser Eagle administrators recover £2.75m

8:10pm Sunday 21st March 2010 in

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THE ADMINISTRATORS of collapsed coach firm Fraser Eagle have recovered more than £2.75million for creditors, it has been revealed.

But Manchester-based Baker Tilly plans to apply to court to extend the administration for another year as it continues to work through the remnants of the Padiham-based firm.

Around 120 staff were made redundant when Fraser Eagle Limited and Fraser Eagle Property Holding Company collapsed a year ago.

Now an adminstrators' report has revealed former employees of the historic business, which also had premises in Blackburn and Accrington, have lodged claims totalling £104,300 for unpaid salaries and holiday pay.

Workers’ requests for payment are being treated as preferential creditor claims by administrators.

The report says Baker Tilly is unsure whether there will be enough money to pay former staff, or when they will be able to.

It is has not yet been decided what proportion creditors will receive of the money owed to them.

Baker Tilly, which was appointed in March 2009, along with its solicitors and agents, has charged payments and expenses worth £397,600 so far. That is made up of £126,639 for time and charge-out rates in respect of Fraser Eagle Limited, and £58,374 for Fraser Eagle Property Holding Company.

Baker Tilly has also charged £128,008 in appointment fees and mileage fees, £11,071 for associates, £13,921 for solicitors and £45,350 for agents.

Administators are allowed to draw payments and expenses after assets of collapsed firms have been realised.

The update report also reveals administrators have recovered £2,160 by selling concert tickets owned by the firms, and £2.75million by selling Fraser Eagle premises at Shuttleworth Mead business park in Padiham, and offices in Blackburn and Padiham.