Telco dispute blamed as CW Supplies shuts up shop

Telco dispute blamed as CW Supplies shuts up shop

Victorian distributor bites the dust after 15 years in business

Victoria-based distributor, CW Supplies, has ceased trading, blaming an unnamed telecommunications company for failing to reconnect if following a change of address.

According to a note on the CW website, the telecommunications problem had a negative impact on its business when it moved premises in March.

"During this period we needed to have our old system replicated with line hunt, ISDN etc. Thirty-five days without adequate communication, as you can imagine, [with] the inability for customers to establish contact, etc, had an immediate and dramatic effect," the note said.

CW Supplies had been operating in the region for 15 years. The note said it had signed an agreement with a telecommunications company in January to replicate its current system to new premises.

"Despite every effort by our staff over the past five months, we have ceased trading," the note said.

The closure of CW Supplies has left some business partners high and dry. Multimedia Technology general manager, John Hassall, said it sold component products to CW and was owed about $30,000.

"They were once a good customer of ours and then they sold their business," he said. "They owed us some money and we have sent a legal letter to them for payment."

Todaytech managing director, Jack Zhong, said it had stopped doing business with CW Supplies about three months ago after hearing the company was in trouble. It had previously been given a line of credit but that had been stopped.

Bluechip Infotech sales director, Ron Jarvis, said it had dealt with CW on a regular basis but that had slowed down since the company changed ownership.

"We didn't do much business with the new owners and what we did was either money up-front or through [third-party finance with] MoneyTech," he said.

Victorian reseller, Computer Talk's proprietor, Andrew Hogan, said he was disappointed about the closure because he had been dealing with CW for years.

"They were great. Sometimes their prices weren't the best but their backup support was better than the regular crop of retailers," he said. "Getting support is the tricky thing, so I'm actually really disappointed I've got to find somebody else."

CW Supplies could not be reached for comment at time of going to press.

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