Travel Club of Upminster in administration
Travel Club of Upminster and its subsidiary Austria Travel have gone into administration following a failed attempt by owner Tony Freudmann to rescue the businesses.
Freudmann is believed to have last-ditch talks with a possible buyer earlier today, but shortly after the meeting the company issued a statement both businesses had gone into administration.
The Birmingham-based businesses provided accommodation-only primarily in Majorca, Portugal and, in the case of Austria Travel, in Austria. Administrators Shipleys said they were unable to meet payments to key overseas accommodation providers.
A notice of intent to appoint administrators was filed in court for Travel Club on September 14 and for Austria Travel on September 24. "This action was taken to try and protect the businesses to allow time to maximise the realisation of the assets of the companies, notably their goodwill," said the statement.
Specialist travel accountants Ellman Wall were earlier instructed to value the businesses and seek expressions of interest from within the industry, but no buyer came forward.
Customers who have booked and paid for accommodation before October 4 will have to lodge a claim with the administrators and those who paid by credit card may be able to claim refunds from their issuer.
Neither of the businesses were members of ABTA and they did not hold ATOLs.
By Linsey McNeill
Linsey McNeill
Editor Linsey McNeill has been writing about travel for more than three decades. Bylines include The Times, Telegraph, Observer, Guardian and Which? plus the South China Morning Post. She also shares insider tips on thetraveljournalist.co.uk
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