Jeremy Karr, Jamie Taylor and Dominik Czerwinke at Begbies Traynor were formally appointed as joint administrators of the company in October.
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In the statement of proposals for achieving the purpose of administration, MJL blamed the conflict between Ukraine and Russia in February 2022 for a surge in raw material prices, escalated utility costs, material shortages and delayed deliveries — which “posed challenges” in project completion.
On 2nd October 2023, the company also owed £2.9m to its 265 staff and £50m in intercompany loans (such as directors and shareholders).
The statement also suggested that the Lonsdale “may have insufficient property to enable a distribution to be made to unsecured creditors”, adding that MJL’s leasehold land and property has no realisable value.
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