Barclays has hit back at claims from Alderson Print Group that it is to blame for the impending administration of the company's ABP web division.
The Surrey-based business has warned that the jobs of its 250 employees are at risk after it was advised to place all of the group's companies into administration following the bank's "unfair" decision to partially withdraw its CID facility.
However, Barclays has called the allegations "nonsense" and cited underlying issues with the group's financials for its current position.
Barclays said: "Several weeks ago the company’s auditors stated that the company is insolvent and expressed concern about its ability to survive.
"The bank has not withdrawn any cash facility. The allegation around the swaps and varying facility agreements is completely false."
The auditors report on Alderson Print Group's latest accounts, for the year ended 31 October 2011, raised concerns over the group's ability to continue as a going concern after it incurred a net loss of £1.3m during the period ending 31 May 2012, at which point its current liabilities were said to have exceeded its current assets by £3m.
"These conditions indicate the existence of a material uncertainty which may cast doubt about the company's ability to continue as a going concern," the report said.
More to follow...Tweet
blog comments powered by Disqus