House of Fraser customers who were promised refunds for undelivered goods in the wake of the department store’s collapse are to lose their money after its new owner, Sports Direct, reneged on the offer.
In August, six days after the Sports Direct founder, Mike Ashley, controversially paid administrators £90m for the department store group, House of Fraser told online customers that it was cancelling and refunding orders that were yet to be sent out.
However, this week the company said customers would have to join the long list of other unsecured creditors applying to the administrator EY for payment.