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Blackburn firm enters sell-off, pushing 120 jobs at stake
15
Jul '10
Dutton Carpets producer from Blackburn, a leading firm in carpet manufacturing, has entered administration, putting 120 jobs at stake. This announcement has come in merely days after tax bosses notified the firm owners with winding-up orders.

However, joint administrators, Christopher Ratten and Jeremy Woodside from recovery division of RSM Tenon are currently hunting for buyers, as union leaders try warding off the state of unemployment at the firm.

Simon Walsh, GMB Union Officer, while addressing the administrators mentioned that, his meet with the administrators was to receive an assurance that no employee loses his or her job immediately. Although, for workers the state will remain of ambiguity, until someone buys off Dutton Carpets.

Formed in 1979, Dutton was UK's biggest independent commission producer of carpet carpet-based goods. But during the recent years, the firm, owned by Chairman, Alan Booth had been going through tough times.

For the year ending March 31, 2009, Dutton Carpets incurred pre-tax loss of £311,000, which was a slump from the figure, £321,000, which was recorded same month in 2008. The firm blamed declining carpet market for incurring losses. More so, as per its financial reports, which were filed at Companies House, the firm owed £585,000 in social security and taxes.

The firm was undergoing troubled times, with respect to cash inflows, leading to HMRC notifying the firm with a winding up order, as they failed to pay the Crown debt, informed Ratten.

Further more, Ratten concluded by saying that, Dutton Carpets was a productive, practical and important business in the Blackburn and Darwen areas, and if a right buyer comes along, the firm can still continue to have a bright future.

Fibre2Fashion News Desk - India


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