A Moray firm which last year launched ambitious £700,000 expansion plans is now teetering on the brink of collapse.
Scotland Electronics International Ltd in Forres has designed equipment for the oil and gas, defence and aerospace sectors since 1995.
Last summer, it bought its Nova House premises at the town’s enterprise park for £672,000, and announced plans to create a 15,000 sq ft extension of the site to increase manufacturing.
But since then, the firm has slashed staff numbers from 45 to 11 in an effort to make ends meet.
And it is understood that vital machinery has been sold off to pay back debtors.
A notice advertising the fact that a petition has been lodged with the Court of Session, seeking among other things that the company be wound up and an interim liquidator appointed, was recently put in the Press and Journal.
However, managing director Mike Ramsay last night downplayed any fears over the possible demise of the company.
Though he would not elaborate on what had caused the downward turn in the firm’s fortunes, he stressed that all was not lost.
Mr Ramsay said: “There is always hope, and I am working on quite a number of different paths to secure the future of the business.
“As far as I’m concerned, the company does have a future, we are working very hard to ensure that.”
However, sources close to the business have painted a less optimistic picture.
One employee described morale at the Forres business as being “worse than rock bottom”.
And they claimed the company’s remaining members of staff face going without pay this month.
Marketinvoice, a group that allows companies to borrow against unpaid invoices, presented a petition to the Court of Session on September 30, seeking that Scotland Electronics
be wound up and that an interim liquidator be appointed.
If the firm is wound up, its remaining assets will be used to pay off existing creditors before it is dissolved.
Highlands and Islands Enterprise (HIE) pledged funds towards Scotland Electronics as it formed plans to expand last year.
The development body approved a £668,949 investment package towards the company’s £2million growth scheme.
The sum was to be released over three years, and depended on the company’s own investment of £1,379,409.
HIE has so far paid the company £423,963, as key stages in the development project were reached, and the most recent payment was £11,594 last August.
HIE’s acting director of business and sector development, David Oxley, offered to support the firm through its “worrying time”.
Mr Oxley said: “It is always disappointing to hear of any business experiencing difficulties.
“This will be a worrying time for the company, its employees and their families.
“If a liquidator is appointed it would be our intention to work with that liquidator to achieve the best outcome for the company, its employees and the local economy.
“It is important to recognise that Scotland Electronics has been a significant contributor to the local economy and Moray’s reputation in electronics and engineering.
“As a valuable employer of around 40 skilled jobs, for many years the company has played a big part in maintaining a highly skilled workforce in Moray.”
During its time in Forres, the company has delivered cutting-edge electronic components to clients such as Nasa and Formula One.
The advanced manufacturing and testing facility is the only one of its kind in Scotland and one of only two in the UK.
