Media Option creditors knock back $200K offer

Rejection of a phoenix-like resurrection opens the way for a CMYKhub offer to buy the failed Sydney printer but there’s no word from the administrator.

The ongoing saga of failed Sydney print business Media Options took another twist last week when a panel of creditors voted to reject the offer from the family-connected Sureprint.  Run by Amrit Chandra, the sister-in-law of former owner of Media’ Options owner, Bhaskar Datta, the company had put forward a bid to take over the business leaving behind  over $3 million in bad debts. This was in opposition to another bid already accepted from Clive Denholm of CMYKhub.

To the industry’s astonishment, the administrator, Veritas Advisory, over turned that offer and called a meeting of creditors to resolve to accept the offer of Sureprint Pty Ltd of $213,500 in full and final settlement if the unfair preference, uncommercial transactions and related transactions claims against them. Following general outrage at the perceived favourable treatment of the family-connected firm, the creditors last week resolved to reject the offer from Sureprint. This leaves the CMYKhub bid on the table.

However, so far Veritas Advisory has not accepted the CMYKhub bid.

The response from the administrator is no surprise to Clive Denholm, who accuses them of not honouring previous agreements. An increasingly frustrated Denholm emailed, CMYKhub have not received any formal communication from the liquidator about the rejection of the related party offer.

“This is the third time our offer has been approved by the creditors only to be delayed by the liquidator. We hope that after the latest creditors meeting the liquidator now takes action to recover assets including the equipment and IP transferred the related entities.

Calls to Veritas Advisory get no response. The situation highlights the difficulties in stamping out the practice of some printing companies re-birthing failed businesses while leaving industry suppliers out of pocket.