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Lawyers for creditors of leisure industry chief John Broome, who built and sold Alton Towers, are waiting for the outcome of a reconvened creditors' meeting that will decide whether his individual voluntary arrangement (IVA) is to be accepted.
If not, bankruptcy proceedings may follow.
A creditors' meeting several weeks ago accepted proposals by Broome's wife to inject cash into a proposed IVA.
Law firm Jeffrey Green Russell is representing seven trade creditors. "The most important thing that came out of the creditors' meeting was that none of the creditors objected to the idea of allowing this cash injection proposal," says JGR lawyer Nigel Frost.
Dibb Lupton Broomhead, Broome's law firm, says reports that JGR was not immediately told of the granting of an ex parte application on 19 October were incorrect and that it was telephoned that day.
However, JGR says it was not told of the return date of 26 October, when the interim order was granted an extension until 1 November.
Dibb Lupton has written to JGR, threatening action for defamation (see news story, front page).
Liquidator Arthur Andersen presented a surprise claim for u30 million at the creditors meeting.