Failed electrical goods and furniture chain DSC has been formally placed in insolvency.
The move will speed the processing of claims against the collapsed business, especially the $10 million plus in unpaid wages which have been the subject of well over 300 complaints lodged with the Labour Department.
The department said it would contact DSC’s provisional liquidator today, August 17, to verify the amount claimed by the company’s employees as its proprietor seeks the court’s approval for a compulsory winding up.
The Secretary for Labour & Welfare Matthew Cheung urged the provisional liquidator to co-operate fully, in terms of providing wage records and verifying the amount of outstanding wages owed to employees.
He said the department can then activate the Protection of Wages on Insolvency Fund and start handing out ex-gratia payments to the employees as soon as possible.
“So I would say that things should be making good progress but it much depends on whether the provisional liquidator can provide all the wage records and also verify the records quickly,” he said.