Disgruntled Bedford creditors came forward with concerns about unpaid debts and fears they'll fall through the cracks of the Administration process. State and Federal governments rescued the disability employer earlier this year and this week a preferred buyer was found for the embattled organisation.
00:00Tim Chatsopoulos' business supplied ingredients to one of Bedford's food production entities.
00:07He says he's out of pocket more than $50,000.
00:11We're a small family owned business, so I mean it's a massive impact.
00:15I mean we just can't take a hit that big.
00:17And he's not alone. Supplier Joseph Gilvary says he's owed $29,000.
00:23I've got no hope whatsoever. No hope. I know that.
00:26Bedford flagged its financial woes back in July and the state and federal governments intervened to temporarily keep it afloat.
00:34Last week it went into administration and this week the Disability Trust was announced as Bedford's preferred buyer.
00:41The state government says 1,200 jobs have been rescued and Bedford's financial management is now a matter for administrator McGrath-Nickell.
00:49There is a long way to go to play out in terms of the administration and how that works.
00:54In a statement McGrath-Nickell says the administration process includes a moratorium period where pre-appointment debts are frozen with no guarantee that the debts will be repaid.
01:05Creditors say Bedford's lack of transparency isn't good enough and they were promised they'd be fully repaid.
01:12McGrath-Nickell will get their administration fees and all the money that they desire.
01:17But small businesses like myself, they're high and dry.
01:22And while a new buyer is in the wings, these creditors are opting out.
01:26Will you be working with them going forward?
01:28Absolutely not. I mean I can't.
01:30Once bitten twice shy.
01:32McGrath-Nickell says the first creditors meeting should be scheduled next week.
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