CoolTan Arts owed more than £70,000 on entering liquidation

Creditors include Age UK Lewisham and Southwark, according to documents posted on Companies House

The mental health charity CoolTan Arts owed more than £70,000 when it collapsed, new documents show.

According to a statement of affairs posted on Companies House last week, the charity had assets of £14,017 available for creditors, as well as £1,750 worth of office furniture and equipment.

CoolTan Arts ceased trading in June this year because of issues with funding and financial sustainability.

The charity had an income of £269,000 in the year to 31 March 2017, but spent £407,600, according to the latest accounts filed on the Charity Commission website.

The statement of affairs shows that the charity owes its preferential creditors £5,160.17. The preferential creditors are employees’ holiday pay and arrears of wages, according to the statement of affairs.

CoolTan Arts also owes £66,753.84 to unsecured creditors, including £53,794.68 to trade and expense creditors.

This includes £28,864.35 owed to Age UK Lewisham and Southwark, the statement of affairs shows.

The rest of the amount owed to unsecured creditors is for HM Revenue & Customs, pay in lieu of notice and arrears of wages.

This means that the deficit in what the charity can pay creditors is £57,897.01.

The charity has faced a rocky couple of years after founder and chief executive Michele Baharier was suspended in September 2015 when allegations of bullying were made against her. Baharier denied the allegations.

She in turn alleged she had been intimidated and harassed by a board member, which the charity denied.

Baharier was dismissed in May 2016. She has taken the charity to tribunal and the judgment is expected in September, Third Sector understands.

Jeremy Frost and Stephen Wadsted of the Frost Group have been appointed joint liquidators of the charity.

Have you registered with us yet?

Register now to enjoy more articles and free email bulletins

Register
Already registered?
Sign in