Pier Crowdfunder still live ahead of creditors’ meeting

The Crowdfunder launched by ex employees of Lions Hastings Pier Peter Wheeler and Daisy Hill remains live ahead of the creditors’ meeting next Thursday. The meeting is part of the liquidation, and not administration, process initiated by the pier owner Sheikh Abid Gulzar. Nick Terdre reports.

It has been brought to HOT’s attention that pier owner Sheikh Abid Gulzar has put Lions Hastings Pier (LHP) into voluntary liquidation, not administration, as previously reported here. According to an insolvency expert, Neil Mather, administration is a rescue procedure, while liquidation is terminal.

HOT also said that the Crowdfunder launched by Peter Wheeler and Daisy Hill to raise legal funds to support an application to have LHP wound up was nullified by Gulzar’s move. However, Wheeler has informed us that it remains live, in view of the expected battle among creditors when they meet.

The legal fund will support Wheeler and Hill’s efforts to throw light on the LHP accounts and any shortcomings and give them a stronger chance of getting Gulzar struck off as a director, while aiding another case investigating him for fraud.

According to Wheeler, while LHP has assets of only £5,000, its debts to outside parties include £45,000 to a bank, £8,000 to one energy company and £3,000 to another, as well as £82,000 awarded by an employment tribunal to himself and Hill. Gulzar also claims to be a creditor of the company to the tune of over £100,000, which Wheeler says, “gives him some privileges in the liquidation.”

The liquidator nominated by Gulzar is Laura Anne Walshe of the Keywood Group Limited, which has offices in Birmingham. However, Mather said, it will be up to creditors to decide whether they accept this nomination or prefer to appoint another liquidator.

“Whoever is appointed liquidator has a duty to investigate the conduct of its directors and report on that to the government’s insolvency service,” he said. “Creditors should therefore ensure that they report any matters they feel need to be investigated about the conduct of its directors to whoever is eventually confirmed as liquidator.”

Gulzar is LHP’s sole director.

Creditors need to provide proof of their claim ahead of the online meeting on Thursday 3 August in order to secure a vote in the process of deciding the liquidator.

As of lunchtime today, the Crowdfunder had raised just over £3,600 of its £7,000 target.

Neil Mather’s comment can be seen appended to the reference to HOT’s original article on Hastings Independent Press’s FB page.

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