The collapse of a Northampton company into administration has left a charity heritage railway group £18,000 out of pocket.
Almost 200 people who work for PaperlinX UK, based in Moulton Park, were made redundant earlier this month after the company ceased trading at 14 of its 19 sites across the country.
The day before the company fell into administration, the East Lancashire Railway, which is mainly run by volunteers, paid PaperlinX £18,000, raised from donations, for a new canopy on its Bury Bolton Street Station.
The new canopy was part of a £100,000 project to re-establish the Victorian style station to its former glory, but the completion of this project is now in jeopardy.
A spokeswoman for the East Lancashire Railway said Deloitte, the administrators, said the charity is unlikely to get the glazed canopy delivered or their money returned.
The Railway’s General Manager, Andy Morris said “We’re absolutely devastated by what’s happened and we’re still struggling to come to terms with what this will ultimately mean for the future of the canopy project.
“The sum of money involved is very substantial for a charity such as ours and it is particularly upsetting bearing in mind the funds were raised through donations and other benefaction.
Mr Miorris said the charity was taking legal advice but it “didn’t look very encouraging.”
He said: “We also need to see what options are open to us in terms of keeping the project on-track and for completion by mid-July, as raising a similar amount of cash to that we’ve already paid out is going to be a tall order. However, one thing is for sure, our volunteer workforce will do everything within their power to ensure the job gets done.”
The charity is now appealing for donations, however small, to help fill the funding gap. These can be pledged by going to the East Lancashire Railway website at EastLancashireRailway