£46 million debt fears after firm's collapse

HUNDREDS OF CREDITORS OWED MONEY

- WILLIAM TELFORD

IT is becoming increasingly likely that more than £46m of debts will be left unpaid after the collapse of the building arm of Devon construction giant Midas.

A new report from administrators for Midas Construction Ltd reveals there will be no cash to pay more than £45m owed to hundreds of unsecured creditors, a £1.5m tax bill and almost £400,000 due for mer workers.

Administrators for the fallen giant now expect to end the administration by February 2026 a full four years after the entire Midas Group went bust.

And while they are still trying to claw back millions of pounds owed to Midas Construction, it is becoming clear that very little will be realised and huge debts will remain unpaid.

A new progress report, filed at Companies House by joint administrators at Teneo Financial Advisory Ltd, showed that, so far, 359 unsecured creditors have made claims, totalling £45,044,648. But the administrators said: "We do not anticipate there will be sufficient asset realisations to enable a distribution to be made to unsecured creditors."

Claims have also been received from 219 employees owed cash for wages, holiday pay and pension contributions. These total £392,167. The report said the only way ex-staff will get any money is if they can claw it back from book debts owed to the company.