HMV owed 109m to bankers and 20m to taxman at collapse, new figures show

By Alex Hawkes, Financial Mail On Sunday

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HMV owed the taxman more than 20million when it collapsed in January, new figures have revealed.

A picture of the music retailer’s books at the time of its collapse showed that bankers to the group, which included Royal Bank of Scotland, were owed 109million.

HMV Music Limited, one of the main trading companies, owed 53.3 million to  other creditors, documents filed with Companies House show.

Rescue hope: Hilco has put in a bid to keep open 130 HMV stores

Rescue hope: Hilco has put in a bid to keep open 130 HMV stores

Restructuring firm Hilco is understood to have submitted a 50million bid to administrator Deloitte to rescue HMV, with a plan to keep 130 stores.

 

Meanwhile, retailer Shoe Zone has revealed that it made 8.5million last year, even as it placed subsidiary Tyler, which mainly ran its Stead & Simpson stores, into administration five days before Christmas, leaving debts of 5.7million.

 

The comments below have not been moderated.

So how long were the directors running a bankrupt business? I always thought that directors had certain legal obligations ... seems not.

Click to rate     Rating   3

RBS as first in the queue of lenders - no surprise there. Who put that fantastic "deal" together back in 06/07 or whenever and no doubt took a nice big bonus out of it. This is only the start.

Click to rate     Rating   5

You close down = loss = owe tax man. You make billions = franchise out = no tax.

Click to rate     Rating   5

We question come not paying tax in the UK, it now looks like a legal loop hole for UK based companies to place companies in administration. It is time for HMV to be saved and make an example for companies like Shoe Zone for their acts.

Click to rate     Rating   1

We question come not paying tax in the UK, it now looks like a legal loop hole for UK based companies to place companies in administration. It is time for HMV to be saved and make an example for companies like Shoe Zone for their acts.

Click to rate     Rating   2

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