KPMG, administrators of Empire Direct have confirmed that customers would not receive the goods they ordered or a refund.
Mark Firmin, joint administrator and KPMG Restructuring Partner said: The customer phone line we established on Tuesday has received a thousand calls a day from concerned customers and so I am very aware of how regrettable this situation is for many customers of Empire Direct. Those who have paid by card should contact their card provider to establish whether they are entitled to a refund. We will be working with the card providers to facilitate refunds.
There are 5,800 customers who have placed and paid for goods that they have not yet received. Of these, 4,800 paid by card and, using banking industry data, the administrators estimate that just over 4,000 of these will be able to claim a refund from their card issuer.
The remaining customers will become unsecured creditors of the company and can lodge a claim with the administrators, though a dividend is not expected.
The administrators also confirmed that no further redundancies have been made and that their efforts to sell the business' assets were continuing, following receipt of 159 expressions of interest from potential purchasers, ranging from major international businesses to corner shops.