Examiner appointed to fashion retail chain

The High Court has appointed an examiner to the ladies footwear and fashion accessories retail chain, Carl Scarpa.

Mr Justice Gerard Hogan yesterday said he was satisfied to appoint experienced insolvency practitioner Tom Kavanagh as examiner to firms CS Calzature Ltd and Carl Scarpa (Grafton Street) Limited. The firms own and operate 20 outlets under the name Carl Scarpa, which the judge said is a “well-known and well-established brand” in Ireland and Britain. The firms employ more than 80 full-time and part-time staff.

Judge Hogan said that while the companies were insolvent and unable to pay their debts as they fall due, he was satisfied from an independent accountant’s report, they have a reasonable prospect of survival as going concerns if certain steps are taken, including securing new investment.

Last week, when the companies sought protection from their creditors, the High Court heard high rents and the general economic downturn were the reason for the firm’s difficulties.

The companies main debtors include Ulster Bank, Revenue Commissioners, local authorities and landlords.

Yesterday, barrister Declan Murphy, for the companies, said a prospective investor was interested in putting money into the companies.

Counsel said it was hoped that during the examiner process Mr Kavanagh could put together a scheme of arrangement with the creditors. If such an agreement was reached, and approved by the High Court, the companies could continue to trade as going concerns.

They company has six outlets in Dublin, and one in Cork, Limerick, Clonmel, and Athlone.