Creditors of Clear Computer Corporation last week accepted a deed of company arrangement that will allow the company, and directors Steve and Tania Stuart, to continue trading in the IT business. It is reported the debts owed by the company amount to $3.4 million.
According to administrator Peter Ngan, creditors will receive five cents in the dollar, staff will be paid in full and the directors will resume control of the company.
The big picture
"The objective of voluntary administration is to provide for the possibility of a company to continue trading, and get a better return for creditors than would otherwise be achieved in receivership," he said.
When asked what caused the problems for Clear, Steve Stuart told ARN that it had relied on too few vendors whose business strategies changed and resulted in decreased sales. With the business resized, it is intended the two companies will trade separately.
"Clear Technology will continue as a reseller with a focus on the provision of integration services and software. As a distributor, Vantage Point Technology will now be looking for prospective IT vendors with which it can trade," Stuart said. VantagePoint has retained its distribution arrangements with Acer and DPT.
Clear creditors, including Acer Computer, Philips and Express Data are reviewing their trading position with the reseller. It is understood the distribution arrangement with Philips has been terminated.