Iceland is alleged to have transferred large sums from its Irish division before its sale.
- Metron Stores accuses Iceland of withdrawing over £1.37m from accounts before the sale was completed.
- An additional £772,476 is claimed to have been taken from sales a week before the sale was finalized.
- Allegations suggest £2.23m of debt was not settled despite prior agreements.
- Iceland is considering legal action, calling the claims damaging to its reputation.
Iceland is at the center of significant financial allegations from Metron Stores, the entity owning Iceland Ireland prior to its recent sale. The allegations assert that Iceland moved substantial funds exceeding £1.37m from its Irish business ahead of the finalization of a sale agreement earlier this year. This transaction has raised concerns about the company’s financial dealings preceding the division’s sale.
Metron Stores claims that in the week leading up to the sale, Iceland transferred an additional £772,476 from revenue generated by the Irish business. These funds were reportedly moved between the date of the sale’s agreement signing and its completion, intensifying scrutiny over Iceland’s financial practices during this pivotal period.
Further complicating the situation, Metron Stores alleges that Iceland failed to settle £2.23m in outstanding debts, which were initially agreed upon to be cleared before the sale. The owner of Metron contends that had the funds not been transferred, the debts could have been adequately settled, thus raising significant financial integrity issues against Iceland.
Amidst these allegations, Iceland is reportedly weighing the possibility of initiating a defamation lawsuit against Metron Stores, arguing that the accusations are a deliberate attempt to tarnish its reputation. A spokesperson from Iceland maintains that all standard trade debts and employee payments associated with Iceland Ireland were duly settled by Iceland UK, and the revenue transfer of funds was justified as they belonged to sales made up until the sale completion date.
The ongoing disputes between Iceland and Metron Stores highlight the complexities and contentious nature of corporate financial transactions.
