Aberdeen-based offshore accommodation specialist Consafe Engineering Services collapsed with debts of more than £4million, it emerged yesterday.
The firm went into administration earlier this year with its Tyneside-headquartered parent McNulty Group Holdings.
Consafe employed 33 people in the Granite City, with all but six initially being made redundant. Administrators KPMG confirmed yesterday that everyone had now been laid off.
It said unsecured creditors were owed £4.42million, and while it said it did not yet know what their return would be it added it was possible funds may become available.
HM Revenue and Customs was owed more than £180,000, while other creditors ranged from £98 to nearly £2.3million, which was owed to fellow McNulty group subsidiary McNulty Offshore Construction
KPMG said Consafe and McNulty collapsed after funding from their owner, Zoom Developers Private, dried up.
In their report to creditors, joint administrators Howard Smith and Mark Firmin said Indian firm Zoom was under the control of its banks.
They added: “Due to this, working capital investment from the parent was no longer available for the group.
“In addition, many of the group’s contracts were loss-making due to costs overrunning and variations not being recovered from customers.”
The report also showed Consafe made pre-tax losses of more than £1.8million in the year to October 1, 2011, compared with profits of £611,000 in the previous 12 months.
At the time of McNulty’s administration in February, KPMG said it was confident it could sell the business and its subsidiaries, but a buyer has not yet been found.
Consafe’s latest woes came seven years after it was bought out of receivership by McNulty.
The business collapsed in 2005, with debts amounting to nearly £10million. At the time, administrators said creditors were unlikely to get any money back.
They blamed the firm’s problems on cash-flow issues caused by irregular payments from some of its larger contracts, delays and a backlog of creditors from 2003.