Three Manchester-based kitchen companies have been wound up by the High Court after taking deposits totalling over £50,000 for 21 kitchens without ever fitting them.
The firms—Smart Choice Kitchens Ltd, Empire Kitchens and Bathrooms Ltd, and Connect Kitchens Ltd—were closed following an investigation by the Insolvency Service into their fraudulent business practices.
The Insolvency Service discovered that both Smart Choice Kitchens Ltd and Empire Kitchens and Bathrooms Ltd received deposits from unsuspecting customers and then falsely informed them that they had gone into liquidation, thus failing to deliver the promised kitchen installations.
Alarmingly, there were concerns that the subsequent phoenix firm, Connect Kitchens Ltd, was set up to continue these deceptive practices.
All three companies were established between November 2022 and July 2023 and shared a common director, Toni Amana Warrington.
David Hope from the Insolvency Service explained, “The victims found out about the companies through Facebook or Google and were treated in similar ways, losing hundreds if not thousands of pounds.”
Hope added, “Phoenix companies being set up with the sole purpose of causing clear financial harm to the public will not be tolerated by the Insolvency Service.
“Stopping these companies from trading will protect potential future victims, disrupt suspected fraudulent activity.”
In addition to the three firms now shut down, Warrington was also a director of three other companies—Your Style Kitchens Ltd, Your Style Kitchens & Bathrooms Ltd, and Designer Kitchens and Bathrooms Limited—which operated under a similar model.
These companies have already ceased trading and were struck off the Companies House register in August 2023, October 2023, and January 2024 respectively.
This crackdown on fraudulent kitchen firms highlights a worrying trend in the home improvement sector, where phoenix companies are created to evade liabilities and deceive consumers.
These companies often use online platforms to attract business, leaving many victims out of pocket and without the services they paid for.
Consumers are advised to exercise caution when dealing with online companies, particularly those that have recently been established or that use aggressive marketing strategies via social media and search engines.
