About 45 jobs were lost when the doors of Algie Agencies closed in November.
The 89 unsecured creditors are owed more than $2 million, and receivers Deloittes of Dunedin held out little chance of funds being available to pay them, receiver Matt Horne said in his first report.
Dunedin firm Tamahine Knitwear announced in April 2008 it would close in June, leaving 50 workers without jobs, but in late May that year, Ken Algie, of the Algie Clothing Co and Algie Agencies, bought Tamahine, resurrecting 22 jobs at the time.
However, despite negotiations for a possible injection of investment funds, in late November last year Auckland-based finance company SH Lock (NZ) Ltd had Algie placed in the hands of receivers.
According to the first report, which is still subject to realisations from sales, the first ranking general security holder is finance company SH Locke, owed $1.09 million.
Preferential creditors are owed, including wages and holiday pay, $169,000 (some were paid in December), and 89 unsecured creditors are owed $2.19 million.
Several companies owed money have charges over Algie, including SH Locke, finance company UDC which is owed $424,000, a Westpac overdraft of $113,000 and Motor Trade Finance, owed $75,000.
Also listed as an unsecured creditor is former company owner Tamahine Holdings Ltd, which is owed $269,000.
Mr Horne said that before the receivership, a third party "investment offer" had been made, but because of the length of time it was taking to finalise, SH Locke decided to go ahead with the receivership application.
Deloitte's had continued to negotiate with the interested parties and allowed the business to trade, but when the offer was withdrawn the company was "immediately" closed, Mr Horne said.
All machinery in the business was sold and a large amount of stock was sold by tender in December, while the remaining stock was being sold to customers and the public, as was furniture and computer equipment.
"Any payments to unsecured creditors will depend on the value ultimately achieved for the business assets, although we are not confident there will be any surplus available to unsecured creditors," Mr Horne said.
He hoped all stock and equipment sales would be concluded by the end of March and the receivership completed by May.
