Irish contractor goes under thanks to Carillion ‘perfect storm’

A second contractor has gone to the wall as a result of Carillion’s collapse, this time in Ireland.

Irish company Sammon Group, which employed around 200 people in County Kildare, has gone into liquidation owed €8m by Carillion for work on a schools public-private partnership (PPP).

Its chief executive Miceál Sammon (pictured) said the collapse in January of Carillion, and the resulting suspension of work on projects, had placed the company in "a perfect storm", reports The Irish Times.

The 30-year-old company had revenues of €72m in 2016.

The first company to be pulled under by Carillion was UK M&E specialist Vaughan Engineering Ltd, which went into administration in March, owed at least £600,000. The 50-year-old company had employed 150 people.

In April Sammon was placed under court protection ("examinership", in Ireland) in an effort to save the company, but yesterday the examiner made a High Court petition to have the company wound up. Grant Thornton will act as liquidator.

Miceál Sammon, who founded the company, told Irish media that it was "a painful and distressing time for everyone who worked in the business".

"We are devastated by the impact that this development has on everyone associated with our company – both personally and professionally," he said.

Sammon was building five schools in Ireland for a PPP joint venture that included Carillion.

Photograph: Founder Miceál Sammon said the collapse of Carillion placed the company in "a perfect storm" (Sammon Group)

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  1. Another victim of MFCCCEBKN by Directors-Management-Financial experts of CARILION Const giant which was allowed to become too big to fail by Govt Creme of Civil Service.

  2. This is very bad news for a company in Ireland. Ireland has enough problems without this happening. Why isn’t the government in UK not taking responsibility for awarding contracts to Carillion knowing that it was going in the wrong direction? Why aren’t the architects of Carillion’s affairs not held liable for their actions? Why can’t money be got from those directors who obviously benefited and given to the companies like Sammon? It’s a mess and no mistake.

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