Administrators to Lava Mayfair Club, the operating company for “woke” members’ club The Conduit, which collapsed last October, have said that creditors are unlikely to see a return on the £20.6m of unsecured debt held against the company and its lease-holding entity Lava Mayfair Limited.
The Conduit, which has recently reopened in Covent Garden with new management, was forced into administration last year after a dispute with its landlord Cola Holdings led to Metro Bank appointing insolvency practitioners on its £10.5m of debt.
Administrator documents for the club reveal the biggest losers in the collapse, with HMRC being owed more than £1m. Akshata Murty – the investor and wife of the chancellor Rishi Sunak – Lord Sainsbury and entrepreneur Brent Hoberman are also set to lose their investments in the business.
The Conduit said shareholders in the old business had been offered an interest in the new company and extensive due diligence had been conducted on all investors.
