The High Court has appointed an examiner to the well known ladies footwear and fashion accessories retail chain "Carl Scarpa".
Mr Justice Gerard Hogan today said he was satisfied to appoint experienced insolvency practitioner Tom Kavanagh as examiner to firms CS Calzature Ltd and Carl Scarpa (Grafton Street) Limited.
The firms own and operate 20 outlets trade under the name Carl Scarpa, which the judge said is a "well known and well established brand," in Ireland and the UK.
The firms employ more than eighty full time and part time staff, the Judge said.
Judge Hogan said that while the companies were insolvent and unable to pay their debts as they fall due, he was satisfied from an independent accountants report, they have a reasonable prospect of survival as going concerns if certain steps are taken, including securing new investment.
Last week when the companies sought the protection from their creditors the High Court heard high rents and the general economic downturn were the reason for the firm's difficulties.
The companies main debtors include Ulster Bank, Revenue Commissioners, local authorities and landlords.
Yesterday barrister Declan Murphy BL for the companies said a prospective investor was interested in putting money into the companies.
Counsel said it was hoped that during the examiner process Mr Kavanagh could put together a scheme of arrangement with the firm's creditors. If such an agreement was reached, and approved by the High Court, the companies could continue to trade as going concerns.
Mr Murphy said that as part of the examinership process negotiations with landlords over store leases would have to take place. It was hoped that any store closures could be avoided. This would be possible if the companies could reach commercially viable agreements in relation to any of its loss making retail outlets.
The Carl Scarpa brand has been in existence since 1974. The directors and shareholders of both companies, which both have a registered address at North Park, North Road, Finglas Co Dublin. are Keith and Stephen Moffitt.