New questions about the fall of Berketex Brides wedding dress | Business



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The parish fashion company, which entered the administration last week, left hundreds of women in the UK without wedding dresses, ignored the usual accounting rules and continued trading, despite the fact that millions of pounds were debt, Observer he found out.

It has been reported that some brides have left 2,000 pounds in their pocket when all 15 retail outlets Bridal Fashions Ltd, which trades as Berketex Bride, have been shut down for more than half a century. Many paid in front, leaving them with little hope of getting their money back.

Tsung-Hui Huang, the sole CEO of Tsung, expressed his "sincere apology for the sudden closure of stores and any other inconvenience this might cause business customers."

In addition to shops in large cities and concessions in Debenhams, it also operated at wedding fairs. The collapse of the chain was painted as a second example of an established trader who is under market pressure in difficult trading conditions.

There were serious questions about the company's bookkeeping – and Huang's role in the further management of the company, which seemed to have more debt than it could sell.

Its latest accounts show that Lincolnshire had a "shortfall of assets" of £ 6,987,288 in the year ending on 31 December 2017. The only way to continue trading as an operating company was through a loan in a $ 2.5 million company from Topvantage Group Ltd, owned by only Huang and based in the British Virgin Islands, Caribbean tax havens.

Reports reveal that Bridal Fashions is buying stocks from the Taiwanese company Pretty Fashions Inc., led by the relic company Huang. According to the financial statements, Bridal Fashions owed Taiwanese companies nearly 2.8 million GBP at the end of last year.

Berketex wedding dress with a 50ft train in 1987.



Berketex wedding dress at 50ft in 1987. Photo: David Crump / Rex Shutterstock

Bridal Fashion reports: "The company's accounting policy is to recognize receipts and receive a non-refundable deposit on arrival. The Director is aware that this policy is not in accordance with generally accepted accounting practices, but also foresees the future cost of complying with these orders in order to compare it with sales relative to sales costs in the same year. "

The disclosure is likely to embarrass the brides that were released from their pocket. Liz Healey, 21, a student and a bride from Derby, said Daily Mirror she found her dress at the Birmingham National Wedding Show last December: "It was a tea length of three quarters of a sleeve dressed number with a little tiny ribbon around the middle."

The dress cost £ 559, but she spent a total of £ 809 for change, again with Berketex Bride. "Nobody has that kind of money that's just lying."

The company's accounting practices will be reviewed by Wilson Field Group administrators. "We have a legal obligation to investigate the conduct of directors in the period before the closure of the company and encourage all creditors who take care of the conduct of the director and the events that led to the company's insolvency to send us an email," said administrator Robert Dymond.

Wilson Field said he had combined up to 80 clothes with his customers and found out another 90 that he hoped to reach their owners.

"As insolvency workers, we often have to deal with excitement when staff are laid off or creditors lose money," Dymond said. "In this case, hundreds of brides who are confronted with their special day are destroyed. So, wherever possible, we tried to combine clothes with a bride.

"For brides who paid the deposit or paid in full, if their clothes were delivered for storage, our staff on the site contacted them to collect their clothes and make a final payment."

"For dresses that have not been delivered to the warehouse, clients are advised on how to obtain credit card / debit card returns, where appropriate."

Huang did not respond to requests for comment.

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