Marmalade Is Bust With £2 Million In Debt

MarmaladeUK mobile phone dealer Marmalade has claimed 3’s commission clawbacks were the cause of the £2 million debt, as the company went into liquidation this week.

Marmalade was one of several dealers to sell b2b connections for 3, and the company was mostly used by Fone Logistics; However, due to growing numbers of failed b2b connections, we have seen 3 clawback thousands of pounds from dealers and distributors in commissions over the past year.

Administrator PKF announced that Fone Logistics is one of Marmalade’s main creditors, as well as HSC, financial house Lombard and also HM Revenue & Customs (Also known as HMRC). Fone Logistics is owed £419,000, HSC is claiming £30,000 and Lombard is after £80,000. HMRC is seeking the most money in unpaid VAT and National Insurance contributions, for £490,000.

This week Marmalade was officially put into liquidation after a meeting of creditors in Manchester. PKF administrator James Williams stated that; “A statutory meeting has taken place at which the creditors passed a resolution to put the company into liquidation to make the assets available to the company.”

He added that the firm’s assets include its database, its furnishings and roughly £19,000 in cash, before confirming that Marmalade’s dues to unsecured creditors currently sit at around £1.9 million.

An unnamed industry source stated that; “We all know the pitfalls of dealing with 3. Marmalade is just a casualty of 3 pushing too much of its b2b business via call centres. It was offering £500 commission per connection. The model does not work.’

HSC declined to make a comment, while Lombard was not reachable for comment.


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