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WISHART HITS OUT AS ADMINISTRATORS TAKE HALF FAREPAK PAY OUT

WISHART HITS OUT AS ADMINISTRATORS TAKE HALF FAREPAK PAY OUT

Mr Pete Wishart MP, Member of Parliament for Perth and North Perthshire has expressed his concern at reports that administrators have taken half the money recovered from the collapsed Farepak hamper firm, while customers continue to wait for compensation.

Mr Wishart, who has campaigned on behalf of constituents who suffered in the collapse of Farepak, said:

“Reports suggest that of the £6 million recovered so far, £3 million has been swallowed up paying the bills of accountants and lawyers.

“Meanwhile customers – whose weekly savings disappeared when Farepak collapsed - are expected to receive only 5p for every pound lost.

“It is a real slap in the face that, after three years, the Farepak victims have been left with a handful of pennies in the pound while the administrators have made millions.

“The ordinary folk who were the innocent victims of Farepaks sudden demise have come last in the queue at every turn. While the Christmas they were saving for was ruined, the bankers that shut Farepak down have walked away from the mishandling of their own companies with big bonuses and benefits packages intact. Now they have to watch as the people charged with recovering the money that was lost are pocketing more than they are giving back.


“I sincerely hope that this situation can still be resolved and a fairer compensation package offered to the Farepak victims.

“The UK government really needs to take a long hard look at the way in which insolvency industry operates."

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