Summerhall Management Limited continues to be in administration following a hearing in Edinburgh Sheriff Court earlier today.
The company is being pursued by HMRC who allege non-payment of corporation tax.
Robert McDowell, Director Summerhall Management Limited made a statement after the court hearing today which is another step in the administration of the company.
He said: “At the court hearing today, 29th November, the Sheriff continued the case until 14th February. I was not expecting this to be the outcome and will now need to take some time to consult with Summerhall Management’s professional advisors and map out our next steps over the coming days.
“Summerhall Management Limited has been placed in limbo for a further three months and our bank accounts remain frozen, making it impossible to pay artists the box office receipts they are owed. A result either way would at least have enabled some certainty. The team have updated the Fringe Society with the result of the today’s hearing.
“Whilst I am confident that there is no corporation tax due I will now look at any and all options available to me that offer the best outcome for my staff, the Fringe companies and other stakeholders who are affected.
“I established Summerhall to help and support artists in our city, and especially during the fringe. That it has come to this because of an accounting error made over 10 years ago causes me great personal pain and anguish and I would like to apologise to everyone who has been affected by the current situation.
“I will make a further statement early next week following detailed discussion with Summerhall Management’s professional advisors.“
The buildings at Summerhall are owned by a family trust which put them on the market for sale with Cuthbert White, with a closing date on 18 September. Since then it has emerged that luxury house developers, AMA, have been chosen as the preferred bidder. Read more here.
The Management company runs the business side – and HMRC have frozen their bank accounts pending the court action to wind up the company being resolved. There is a third entity the charity Summerhall Arts which is NOT involved in the running of the business which Robert McDowell has built up here since buying the former Dick Vet building.
Summerhall Arts is a charity established earlier this year which has totally separate governance and finances from Summerhall Management.
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