Melbourne-based reseller, Notebooks R Us, has gone into administration owing more than $2 million.
The company went into voluntary administration on January 31, appointing Pattisons Business Advisors and Consultancy Specialists. The decision came one month after it closed three stores in Melbourne, Dandenong and St Kilda, to concentrate on its main store in Abbotsford.
Administrator, Paul Pattison, said Notebooks R Us had been unable to pay its creditors. He estimated debts to be more than $2 million.
According to its books, the company had about $300,000 worth of stock prior to going into administration. Pattison said the directors, Gerard and Robert O'Neil, had allegedly sold the business assets for about $30,000. Pattisons is now investigating the transaction.
He also claimed the family-owned business had appointed a receiver. Pattisons is currently waiting for a full creditors' report from the company directors.
The next creditors meeting will be held on February 20. Pattison said it would recommend Notebooks R Us be put into liquidation.
Victorian distributor, Anyware Computers, is one of many suppliers on the creditors list. Managing director, Garrison Huang, said it was owed a small sum.