A Dundee firm that had plans to double its workforce has gone into administration, with jobs lost.
Administrators were appointed for Panacea Fire and Security Ltd in October, though the company ceased trading in June.
Of its 14 employees, nine were made redundant, according to the administrators.
The safety and data infrastructure specialist generated £1 million revenue in 2020.
Assessments continuing
The administrators add they have not received any records for Panacea Fire & Security Ltd.
This means the joint administrators, Blair Nimmo and Alistair McAlinden of Interpath Advisory, are unaware of the amounts due by customers to the company, or of stock levels.
The report states: “The joint administrators continue with efforts to retrieve company books and records from the directors in order to allow an assessment of the financial position of the company.”
The report also shows the level of debts within the company, started by Billy Hosie and his wife Melanie following the 2019 collapse of McGill.
In its first 12 months the company worked on the Earl Grey building at Dundee waterfront and Menzieshill Community Centre.
It was originally based at the Faraday Business Centre at Dryburgh Industrial Estate, before moving to larger premises in Mid Road in 2020.
Plans to create Dundee hub
Secured creditors are owed in the region of £121,000, while preferential creditors are owed approximately £80,000.
A spokesperson for the administrators said: “We continue to pursue the company’s debtors.
“Our investigations into the company’s affairs remain ongoing.”
Last year, Mr Hosie outlined plans to hire 25 new staff and make Dundee a hub for the distribution, installation and maintenance of a fall detection sensor.
At that time, the firm said the contract would be worth £30m.
However 12 months on, Mr Hosie explained the decision to close the company was to concentrate on a healthcare business.
Mr Hosie said the healthcare business – Panacea Healthcare Group – was “growing at an exponential rate”.
Companies House records show that business started in September 2021.
Mr and Mrs Hosie are listed among its directors.
Meanwhile, a number of former employees of Panacea Fire & Security Ltd have also taken the firm to employment tribunals.
The firm was ordered to pay money owed to its former staff for unpaid wages and holiday pay.
Conversation