Auckland store in receivership

Press, 4 April 1989, Page 4

Auckland store in receivership

PA Auckland Milnes of Auckland, which has links with some of the earliest retail trade in the city, has been placed in receivership. Milnes has department stores at 151 Queen Street, Remuera and Glen Innes.

Messrs Gerry Rea and John Gaukrodger, of the accountancy firm KPMG Peat Marwick, were appointed receivers late on Friday afternoon but the decision was not made public until after full-time Milnes staff were told early yesterday. The stores were trading yesterday and a decision regarding their future was to be made “soon,” a media report said. Less than a fortnight ago the chairman of Milnes, Mr lan Farrant, said the stores were trading at a reasonable level but would not deny the company was in financial trouble.

A representative of a Christchurch handbag manufacturer, Florian Leathergoods, Ltd, who at 8.45 a.m. yesterday tried to repossess merchandise from the Queen Street store “worth a considerable amount of money,” said he was refused access. He was told that Milnes went into receivership on Friday, and was “astounded” the decision was not made public before now.

About 100 staff were involved in the three stores. Neither the unions involved nor the receivers would comment on how many would lose their jobs, but further details were expected later this week.