Friday 22 September 2017

Debt firm goes bust despite getting state aid

Greg Harkin

A DEBT management company went bust yesterday, throwing 26 people on to the dole just months after receiving €360,000 in government grants.

The company Eist agus Cuidiu was based in the Donegal gaeltacht in Gweedore.

It offered financial advice from a call centre to people suffering from debt problems.

It had received grants from Udaras na Gaeltachta after it was established just 11 months ago.

Some of the employees claim they didn't receive their last pay cheque.

"It would be funny if it wasn't so serious," one former employee told the Irish Independent.

"Here we were advising people on how to manage their debts and I'm going to be left with a pile of debt because I haven't been paid."

Eist agus Cuidiu was only established in August of last year as a financial services call centre that offered a debt management service.

Local TD Pearse Doherty called for unpaid wages to be settled.

Steve O Culain, CEO of Udaras, confirmed that the company was given €360,000 in aid.

"It is our understanding that the company's decision to cease trading was for reasons outside its control," he said.

"We were aware that the company had difficulties in receiving payments from its creditors and has been working with them in an effort to overcome these problems."

He said Udaras had spoken to company management to "ensure that every effort is made to enable the employees to receive their entitlements".

Mr Doherty added: "I would call on the directors of this company to ensure that all of their employees receive all of their entitlements and that they are treated with respect."

Irish Independent

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