New Rathbones’ administrators in power struggle
24 February, 2006
A BIZARRE power struggle is taking place between the administrators of Harvestime (2005) and the administrators of New Rathbones.
KPMG, backed by Harves-time (2005)’s creditors Whit-worth Holdings and Whitworth Brothers, is challenging Har-vestime (2005)’s administrators to take over the administration process of New Rathbones. Eleven creditors, who turned up to a Harvestime (2005) creditors’ meeting earlier this month, have already voted down a motion to replace Begbies Traynor. But KPMG is fighting on, backed by Whitworth.New Rathbones’ administrator KPMG oversaw the break-up of New Rathbones in April 2005 into the Harvestime (2005) and Rathbone Kear business. Whitworth Brothers provided the working capital when the Harvestime (2005) business was formed in May 2005. Begbies Traynor was subsequently called in to Harvestime (2005) on November 18, 2005. Meanwhile, suppliers and customers remain supportive, as Harvestime (2005)’s Walsall bakery enters its fourth month in administration. The bakery continues to supply customers, including independents and supermarket Tesco, with a range including Tesco Finest, organic, in-store bakery and ciabatta loaves. A “couple of interested parties” are understood to be talking to administrators about a possible purchase of the bakery, which employs over 200 people. The rent on the site is paid until the end of May.