Microtechnics debts revealed

VAR owes £1.7m to various creditors

VAR Microtechnics Systems, which entered voluntary liquidation earlier this month, owes £1.7m to a variety of creditors.

At a recent creditors' meeting, accountancy firm Rifsons, which is handling the liquidation, revealed the VAR owes vendors, distributors and the Inland Revenue.

"There is every likelihood of a dividend paying, but not the full £1.7m," said a Rifsons representative. "This process could go on for a year or more."

A six-figure sum is believed to be owed to the Inland Revenue, but Rifsons declined to comment.

Microtechnics is part of Systems Group International (SGi). It started liquidation proceedings after a dispute between shareholders who wanted to split the firm into two businesses.

Eddie Pacey, director of credit services EMEA at Bell Microproducts, said Microtechnics owes the distributor £18,000. "We are disappointed it went into creditors' voluntary liquidation rather than members' liquidation, because we are unlikely to get our money back now," he said.

Directors at SGi were unavailable for comment.

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