The administrator of failed wedding list company Wrapit has called for the UK
law to be changed to protect customer money paid in advance for orders.
Myles Halley has called for UK company law to be changed to ensure money paid
in advance for goods is protected if companies go bankrupt.
Administrators KPMG, are preparing to announce they have abandoned
efforts to find a buyer and will wind down the online service within three
The company’s co-founder, Pepita Diamand, had been trying to buy Wrapit back.
KPMG has written to Wrapit’s directors asking them to explain how the wedding
list service’s finances were managed. It will report its findings to the
Department for Business Enterprise and Regulatory Reform.
The company’s lender HSBC has also been under the spotlight for ring-fencing
£1m of Wrapit’s money when it became apparent that the company was verging on
bankruptcy. Wrapit’s management claimed in a message on its website that the £1m
would have been devoted to ‘fulfilling our orders’.
Wrapit was set up in 2000 and designed to allow couples to compile their
lists online with guests able to buy items through its website which the company
would then deliver.
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies
Smith & Williamson has been appointed administrators of charity 4Children