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Photo: Office of Strongbox.
British businessman Stephen Edmunds whose company was supposed to supply Russian Navy's ships with cabin metal furniture repudiates his bankruptcy. It is said in the email received by editors fr om Stephen Edmunds, director general of Strongbox Accommodation Furniture Ltd.
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Russian Navy's British Furniture Supplier Denies His Bankruptcy
19.06.2012
"I would like to confirm to you that Strongbox Accommodation Furniture is certainly not insolvent and is financially robust and has a substantial order book completing work for the UK Aircraft Carriers and the Royal Fleet Auxiliary", was said in the email.
However, as was earlier reported by , quite another company of Stephen Edmunds is currently undergoing administration - Strongbox Marine Furniture Ltd (SMF); by the way, not a word was said about SMF in the email message. Speaking of Strongbox Accommodation Furniture (SAF), in Feb 2012 this company purchased business and assets of busted SMF for GBP 250,000. Proving documents are available to the editorial staff. Unfortunately, so far Mr. Edmunds has not provided any new documents refuting the previous ones. Earlier on, reporters of many times tried to contact the SMF director via email and phone, but every time heard the company secretary Julie Lever saying that Mr. Edmunds either not arrived or left the office earlier. In the email to , Edmunds says he was on a long business trip.
According to the British businessman, transfer of assets from one company to another as well as placing of SMF under administration because of deteriorated cash position is nothing more than "reorganization" and "modernization" due to the "growing needs of the shipbuilding industry". For clarity, Edmunds lists projects he is going to work on in 2012-2013. It is accommodation furniture for aircraft carriers HMS Queen Elizabeth and HMS Prince of Whales, six Canadian frigates, etc. Co-working with Russian Navy was not mentioned in that list.
It is also noteworthy that companies directed by Stephen Edmunds were "reorganized" by means of bankruptcy not for the first time. For instance, Strongbox Systems Ltd went bust in Sept 2004, and Strongbox Broadcast Products Ltd became insolvent in Apr 2006. 's sources in London business community say that both of mentioned companies were related to Edmunds. So, Strongbox Marine Furniture is just the third firm in this line. As long as "his companies are lim ited he is not personally responsible for the debts", emphasized British interviewee. He also expressed doubts that Stephen Edmunds is able to execute naval contracts listed in his email because his debt to creditors amounts up to GBP 500,000. Take note, assets of Strongbox Marine Furniture chosen by the defense minister as a supplier were valued in Feb 2012 at only GBP 1. "Is that real price for contracts undertaken by SMF?" wonders the British interviewee of .
Recall that the defense ministry's Resolution No. 235/1/1/5899 providing planting of imported furniture and sanitary equipment made by Strongbox Marine Furniture Ltd in all new Russian warships was endorsed by defense minister Serdiukov in Nov 2011. Among ships planned to be furnished with British-made products are frigates (Project 22350, Project 11356) and corvettes (Project 20380/20385, Project 21631, and Project 21630). Text of the resolution was earlier approved by the then Navy Commander-in-Chief ADM Vladimir Vysotsky, although it was rumored behind the scenes that the naval chief opposed that initiative. At the time, it was known nothing about financial standing of the company chosen by Serdiukov.
First report about Strongbox Marine Furniture Ltd undergoing administration since Feb 14, 2012 appeared several months ago in the British newspaper The London Gazette. found out that business and affairs of SMF passed into receivership of RSM Tenon. According to administrators, "throughout 2011 the Company's cash position deteriorated and in early January 2012 the Company were unable to pay its workforce and trade creditors". Nevertheless, backlog of SMF had a contract on metal furniture for the Royal Navy ships. Although Strongbox Marine Furniture Ltd had no formally signed contracts with Russian Navy at the time it entered administration, an undisclosed source of in London's business community says such agreement may be probably tied in the future.
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