Creditors of In-a-Flap Envelope Company Ltd, which changed its name to In-a-Flap plc in June with a view to a public flotation, are seeking a winding up petition.
Creditors currently applying for the petition include DPS Envelopes, Vision Global, Alfred Ahlers based in Germany and Van Stolk and Reese from Holland.
Credit records state that 7m turnover In-a-Flap Envelope Company Ltd ceased trading on June 9 and that and that the newly-incorporated plc acquired the assets and liabilities of the company. Sister company Print Origination Services Ltd also became part of the plc.
However, the situation is far from clear as PrintWeek has obtained a copy of a letter from In-a-Flap Envelope Company Ltd, dated June 29, which stated to one of its creditors that: "Advice has resulted in us declaring that the company is insolvent as it is unable to pay its debts as they fall due. On that basis an Administration order has been sought."
A spokesman for London-based solicitors Baron Grey acting on behalf of DPS Envelopes, confirmed that there had been a hearing at the Royal Courts of Justice on 27 July between the parties. He added: "Its been adjourned until August 23. On behalf of my client I can confirm that a winding up petition has been applied for. Its up to the court to decide whether or not to wind up the company or grant the administration order."
In-a-Flap managing director Robert Jenkin was unavailable for comment as PrintWeek went to press.
Story by John Davies