ADMINISTRATORS say creditors could now be owed more than £54million following the collapse of a Blackburn property king's empire.

Ex-Bury FC chairman Stewart Day had previously seen four of his Mederco companies go under in April, with potential losses to investors of around £27million, for student developments in Bolton, Bradford, Cardiff and Glasgow.

But further investigations have been taking place concerning two further entities, each tied up with major developments of student accommodation, known as Crane Court, Kingfisher Court and Cormorant House in Huddersfield.

Day, who worked out of a rented office at Cunningham Court, on the Shadsworth Business Park, had secured capital for the construction of three separate blocks, in and around the Huddersfield's Manchester Road, to service the student population there.

Major backer Lendy had called time though on both Mederco (Block A) and Mederco (Huddersfield), amid uncertainty over their investments.

Administrators RSM Recovery have now reported back on the likelihood of any money being recouped from either outfit.

For Mederco (Huddersfield), according to administrators Damian Webb and Jamie Miller, a £2.6million security held by another lender, Collateral, could be redeemed, if the freehold for Kingfisher Court was sold. The company bank account held £8.69 at the time of administration.

Elsewhere funds for unsecured creditors though, owed £5.1million, including those who had paid between 50 and 90 per cent deposits for Crane Court and long-term leaseholders in Kingfisher Court, remain in the balance. The overall outstanding amount to creditors is more than £12.7million

Mr Webb and Mr Miller, in respect of both companies, said in separate reports: "The administrators have yet to be provided with the books and accounts of the company."

They say their assessments are based on information obtained by various third parties and past advisors to the Mederco group.

Regarding Mederco (Block A), the total deficit to creditors for the nine-storey 168 apartment development is £14.1million, covering £6.57million outstanding to third party depositors and £2.2million to the taxman.

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The administrators have confirmed they are investigating whether the companies have legitimate claims against their banks for the alleged mis-selling of interest rate hedging products, as part of a wider Financial Conduct Authority inquiry.

Virtual creditors meetings have been called by Mr Webb and Mr Miller in respect of both Mederco (Block A) and Mederco (Huddersfield) for July 16, to consider their detailed proposals to dissolve each of the firms.