Courts' creditors to receive just £600K of the £94m owed

24th February | retail | Unsecured creditors of furniture chain Courts will receive less than 1p for every pound they are owed. £600,000 of the £94m outstanding debts has been allocated to some firms, while secured creditors will net more than £70m.

These include HM Revenue and Customs and the firm’s pension fund, which the Government agreed to underwrite in January 2008. Courts went into administration at the end of 2004 and remained in the hands of accountants for a period of almost four years.

While unsecured creditors will receive just 0.04p in the pound, KPMG has earned in excess of £35m during the period of the administration.

Furniture retailer Courts was founded in 1850 and continues to trade in a number of countries around the world.

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