Platinum Travel creditors will meet on Tuesday, January 28th for a second time to appoint a liquidator to the insolvent firm, whose customers could seek almost €4,600 each in compensation from State regulators.
Directors Austin Carroll and Ciara Foley said that they were winding up the well-known Clontarf, Dublin-based travel agent in December on the grounds that it was insolvent.
They will reconvene a creditors meeting next Tuesday, January 28th, at 7 Fitzwilliam Street Lower, in central Dublin to vote on the appointment of Flavien Keily as liquidator to the company. Ms Keily’s office and creditors separately confirmed the date this week.
Creditors originally met on January 9th but directors adjourned proceedings after it emerged that none of the 85 customers who had bought holidays from the company had received the required 10 days notice of the meeting.
Those customers count as unsecured creditors, even though they are likely to claim compensation from the Travellers’ Protection Fund, operated by industry regulator, the Irish Aviation Authority (IAA).
This reimburses holidaymakers who lose out when travel agents fail. The authority said last week that it had received 28 claims to date.
It is understood that Platinum calculates that 85 customers could claim a total up to €389,474 from the fund, an average of €4,580 each. The IAA is listed as an unsecured creditor for two sums totalling €389,474 as a consequence.
The authority stressed that “valid claims against the insolvency protection scheme will be paid out irrespective and independently of the liquidation outcome”.
Tuesday’s meeting will give creditors the chance to scrutinise and query Platinum’s statement of affairs, a key document prepared by the directors setting out the company’s assets and liabilities.
Creditors could include suppliers and lenders alongside customers. Platinum’s most recent accounts, for the 12 months to December 31st 2023, show it owed banks and credit institutions €122,540 on that date.
It had net assets of €76,201 on that date. In 2023, Platinum paid the two directors €85,000 in total and contributed €18,914 to their pensions.
Founded by Ms Foley and Mr Carroll in 2005, Platinum focused on long-haul trips to the US and other destinations and customised holidays. Its founders are well-known in the Irish travel business. They resolved in December that the company was insolvent and had to be wound up.
Platinum posted a note advising holidaymakers on their options on December 19th and recommended that they contact the IAA.
Neither the directors nor Ms Keily could comment on the pending liquidation.
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