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Two more M&E firms go under

Former Carillion, Laing O’Rourke and Mitie subcontractor FBE Services Ltd has collapsed after administrators were called in last month.

The firm appointed Mark Elijah Thomas Bowen of Birmingham-based MB Insolvency as administrator last month.

Among its recent projects was the Southmead Hospital PFI Bristol, where it worked under a £1.5 million contract with Carillion, providing works including containment, small power, lighting and sub-mains.

It was also working on the Oxford Brookes University Abercrombie Building for Laing O Rourke/CHt and the Bronglais Hospital in Aberystwyth, a multi-phased redevelopment scheme for Mitie Engineering.

The Gloucestershire-based firm had an anticipated turnover for 2012 of around £4 million, and had projected an operating profit of £850,000 and a retained profit within the business of £150,000. Its workforce last year included five technicians, 38 electricians, 14 semi-skilled, 2 apprentices, 5 Project Managers and 5 Office staff.

MB Insolvency confirmed to CN it had been appointed as administrator but declined to comment further.

Meanwhile 19 jobs have been lost after Graham Bushby and Matthew Wild of Baker Tilly Restructuring and Recovery were appointed joint administrators of JRC Mechanical Services Limited.

The Somerset-based firm had traded for 20 years as a mechanical engineer and plumbing sub-contractor, supplying services to private businesses and public sector entities such as schools and police stations.

Baker Tilly restructuring and recovery partner Graham Bushby said: “Despite being a reputable business, JRC faced difficult trading conditions typical of the construction sector in the current economic climate, notably a declining order book and reducing margins.

“These sector issues were compounded at JRC by the insolvency in 2010 of building services company Rok, as well as customers not paying to terms. The company recently exhausted its cash resources and in the absence of additional funds, has been unable to finance its new contracts. Consequently, the directors had no option but to appoint administrators to protect the assets for the benefit of creditors.

“As a result of this, we had no option but to make all 19 staff redundant, but are continuing to assist them with expediting their claims through the Redundancy Payments Service for redundancy pay and any monies owed to them.”

Any enquiries should be directed to Graham Bushby or Chris Lewis at Baker Tilly on 0121 2143100 or rrbirmingham@bakertilly.co.uk

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