Creditors of the collapsed children’s charity 4Children will receive no money despite making claims totalling almost £1.7m, the charity’s administrators have said.
In a final progress report for the charity’s administration, published on Companies House, only the secured creditor FSE received any money, having received almost £413,000.
But unsecured and preferential creditors will receive nothing because funds realised during the administration have been used to cover the costs of the proceeding, the report says.
The administration cost £248,475.43, the report shows, although the administrators, Smith & Williamson, were able to draw down only £143,720.59 of the money owed to them.
4Children collapsed on 1 September 2016 after the charity encountered financial difficulties because of the loss of key contracts and funding pressures.
But a deal with Action for Children and other children’s service providers meant that most of the charity’s services, buildings and staff were transferred to other services.
The administrators said at the time of the charity’s entry into administration that only three sites and 65 staff would be made redundant.
Claims that have not been paid out include 55 from employees totalling £6,843.50 and one from the Redundancy Payments Service worth £11,526.98.
Almost £1.7m from 81 unsecured creditors was not paid out.
The charity will cease to exist on 7 December, three months after the date of the notice to end the administration and dissolve the charity.