X Factor property controversy as building firm folds owing creditors hundreds of thousands

X Factor property controversy as building firm folds owing creditors hundreds of thousands




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The TV talent show loved and hated in equal measures faced more controversy last week – albeit for something that couldn’t be blamed on Simon Cowell.

Disgruntled construction workers have told the Daily Mail newspaper that they have lost thousands of pounds on the £6.25 million

North London

property that was used to house the X Factor contestants.

The six-bedroom property, which also has a gym and pool, is up for sale now that the series has finished but many small companies are claiming they never received payment for their work on the house.

This is due to the collapse of contractors Hira Construction earlier this year. The firm folded with debts of £288,000 – leaving more than 50 creditors in the lurch.

However, the directors of Hira Construction soon resurfaced as Hira Construction D&B and, according to newspaper reports, operate from the same premises and feature the X Factor mansion on their website.

One creditor, Mark Kirkwood from small building firm TMK, who is owed nearly £8,000 for paving the driveway of the house, said: “It seems a shame that this house is getting a lot of positive press while small companies have lost large sums that have caused considerable hardship.”

The construction sector has suffered considerably from the problems in the property markets, with statistics from Pricewaterhouse-Coopers showing that earlier in the year eight construction companies went bust every day.

The bosses of Hira Construction D&B have so far refused to comment on these reports.

 

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