Legacy Hospitality Group to liquidate owing $1.7M to 258 creditors
Legacy Hospitality Group Pty Ltd, part of the broader Legacy Group, has gone into voluntary liquidation impacting nearly 250 staff members and owing $1.725 million in total to 258 creditors.
Andrew Knight and Sebastian Hams of insolvency firm KordaMentha will act as liquidators.
“The entity we’ve been appointed (to) is one entity in the broader Legacy group,” Knight told news.com.au.
The Melbourne arm of Legacy Group will wind up owing 241 ex-staff superannuation ranging from as little as $11 to as high as $4500.
Staff is owed $170,000 in total.
The rest of the group led by Benny Avramides is not affected.
Avramides has several interests in Melbourne including flagship catering service Tommy Collins Hamptons Bakery, Ladybird Cakes and the Rumour Has It cafe.
All continue to operate.
Staff at Legacy Hospitality Group could be receive unpaid wages via government schemes, however with no scheme in place for superannuation they are likely to miss out.
Legacy Hospitality Group ceased trading in July. It owes the Australian Taxation Office $1.58 million.
The Australian Securities and Investments Commission (ASIC), the State Revenue Office and the Fair Entitlements Guarantee scheme are also owed money.
Legacy Hospitality Group is estimated to have around $99,000 worth of assets.
“It’s a really tough time for our industry and we’re working through this with the team at KordaMentha to remain compliant and ensure our staff are looked after and paid their entitlements,” Avramides told news.com.au.
Legacy Hospitality Group is one of a growing number of ventures that could not survive the effects of the pandemic.
Sydney restaurants Little Viet Kitchen and Jellyfish Cafe, two Hog’s Breath cafes in NSW, national restaurant chain Sushi Bay, Karen’s Diner and popular Melbourne burger joint The Beer & Burger Bar have all collapsed.
Jonathan Jackson, 26th October 2023
