Staff at a failed call centre which was handed £10million in public contracts will get less than half of what they’re owed after it went bust. Go-Centric collapsed weeks before Christmas with unpayable debts of £3.8million and made hundreds of staff redundant.
It came in contrast to the lavish lifestyle of its boss David Harper, who lives in a £2million mansion and took holidays as his company ran into trouble. Liquidation documents show 564 workers are owed an average of £1535 each but are only guaranteed £641.
The Glasgow-based firm, which worked on the NHS Scotland’s Test and Protect service during the pandemic, also owes cash to the taxman, Glasgow City Council and businesses run by Harper’s husband and mum.
The contract was due to run out in March this year but NHS National Services Scotland previously insisted the company’s collapse would have no impact on its ability to deliver services. It was also given £1.4million in public funds from the UK Government in August to provide call centre support for an energy bill discount scheme.
After staff are paid for outstanding wages and holiday pay, liquidators estimate they will have enough to pay just 7p of every £1 of the remaining debt.
According to their report, filed last week, Go-Centric went bust owing more than £3million to the taxman, which included £2million of VAT, £924,000 in PAYE and £143,747 in corporation tax. At best, the taxman will get just £11,395 back.
Liquidators Buchler Phillips told the Sunday Mail that they estimate the firm owes 564 employees £498,970.80 for redundancy pay, notice periods or expenses, while their wages and holiday pay stands at £351,951.64.
As revealed by the Sunday Mail, the company’s former director Harper enjoyed a life of luxury and took plush holidays in the weeks after an earlier redundancy round in May. The 42-year-old lives in a mansion in Northumberland with tennis courts and a swimming pool and drives a range of luxury cars.
Dozens of other creditors, including Glasgow City Council and its arms-length property firm City Property, will be left unpaid after Go-Centric’s collapse. Documents show 40 creditors were owed more than £4million when Go-Centric closed, with Virgin Money owed £458,611, Glasgow City Council £2000, City Property £35,841 and insurers JM Glendinning owed £40.389.70.
TwentyCo, a firm run by Harper and husband Nick Merrey, is listed as being owed £137,500, while make-up firm Glamour Gran Ann – run by Harper and his mum – is owed £551.62.
Jamie Halcro Johnston, Tory shadow minister for business, trade, tourism and enterprise, said: “All public bodies, and the ministers responsible for them, have a duty to make sure taxpayers’ money isn’t wasted.
“But it looks like they, and this company’s staff, are going to pay the price for the SNP’s disgracefully casual approach to public finances.”
The Sunday Mail attempted to reach David Harper but did not receive a response.
Don't miss the latest news from around Scotland and beyond - sign up to our daily newsletter here .
