Ditched telco leaves freelancers empty-handed
The recent liquidation of British telecoms company, Concept Telecom, has left 29 IT freelancers out of contract and out of pocket, receivers have confirmed.
Tenon Recovery - which also handled the liquidation of employment benefit trust company, 'Contractor Financial Planning/Dignatio', last year - told UKTECH it was trying to secure Concept's freelancers 'a package deal' that would reimburse them, at least in part.
Patrick Ellwood from BDO Stoy Hayward, who is working with Tenon Recovery, said: "Concept Telecom became insolvent on 21 February after it could no longer pay its debts. The 29 freelancers affected won't be paid the money they are owed, but I have offered them a deal to compensate them in part, provided we get paid by its customers: a number of major mobile phone companies."
Mr Ellwood said he didn't see why the mobile phone companies would not pay Tenon Recovery the money they owed Concept Telecom, but he declined to name any of them.
"The due date for payment is early this month and early next month," he added. "Freelancers who accept the deal will receive a very healthy dividend provided they have submitted their timesheets to us. This is not a 'basket case' job where they'll get nothing."
Mr Ellwood confirmed there would be a creditors meeting before 21 May.
He also confirmed the freelancers involved would be exempt from claiming outstanding monies from the Department of Work and Pensions due to their non-employee status.
"There are some perks and some disadvantages to being a freelancer," he said. "That would definitely be a big disadvantage."
Russell Meakin and Anthony Gardiner founded Concept Telecom in 1996 to test SIM cards for Nokia, the mobile-phone giant.
The Nottingham company then began designing and manufacturing its own devices for testing mobile phones, including those being developed for third-generation (3G) networks.
Concept's sales increased by 80 per cent just two years ago, from £2.4 million in 1999 to £7.9 million in 200