Australian fashion brand Alice McCall owes more than $1 million in debts as it entered liquidation on February 17, according to documents obtained by Ragtrader.
The financial blow comes after it emerged from voluntary administration in January 2021, with insolvency firm Worrells’ principal Matthew Kucianski being appointed as liquidator.
The documents show the fashion brand owes $677,922.93 to the Australian Taxation Office, alongside $540,000 in aged payables.
Inside its aged payables, Alice McCall owes $200,986 to Vicinity Centres for its stores at both Emporium Melbourne and Queens Plaza, Brisbane, and owes $107,933 for its boutique in Westfield Sydney.
Other debts include overseas fashion manufacturers such as Manful Beaded Fashion Limited in Hong Kong for $94,220, and vendors such as AirRobe ($187) and Rakuten Marketing Australia ($23,076).
Meanwhile, Alice McCall has outstanding money owed to the brand by Farfetch, whom operate its eCommerce platform, for $6,000, with Afterpay owing USD$4,128.95. There is also a $37.71 owing by Cotton On to the Australian fashion label.
The documents also note that founder Alice McCall is said to be owed $94,000 in annual leave, alongside $21,000 in long service leave, with a senior designer for the brand being owed $15,000 for long service leave.
The liquidation announcement comes as Alice McCall is listed on the PayPal Melbourne Fashion Festival’s Premium Runway Series for 2023, alongside other brands such as Leo Lin, Ginger & Smart, and Aje.
Worrells said that despite attempts to restructure its debt and reduce its store footprint in 2020, the company was unable to overcome the challenges posed by the pandemic, and ultimately a decision was made to appoint Worrells to oversee its winding up.
Kucianski said this is a difficult time for everyone involved.
“We will do our utmost to support all stakeholders throughout the liquidation process,” Kucianski said. “Our team is committed to ensuring that the liquidation process is conducted in a professional and transparent manner, and that all parties are kept informed of developments as they arise.”
Alice McCall’s Melbourne, Brisbane, and Sydney stores have now closed. Its online channels are still active, with a clearance sale underway, including nothing over $100 sitewide.
Worrells is urging creditors to lodge any proof of debts via its website, under file information.