Gome suppliers seek liquidation of struggling Chinese electronics retailer’s subsidiary over outstanding dues
- Gome Retail Holdings said bankruptcy petitions had been filed recently against its subsidiary Gome Appliances in the Beijing No 1 Intermediate People’s Court
- While the plaintiffs are seeking 4.7 million yuan (US$675,219) in outstanding dues, Gome says it is not contractually obliged to pay the amount
The company acknowledged that bankruptcy petitions were filed recently against Gome Appliances in the Beijing No 1 Intermediate People’s Court by Shenyang Shengxingda Kitchen and Bathroom Products, Liaoning Supor Cookware Trading and two others.
The plaintiffs claim that Gome Appliances owes them 4.7 million yuan (US$675,219), but the company said it does not have any contractual obligation to pay the amount.
Gome Retail said in a filing to the Hong Kong stock exchange late on Thursday that “no legal document was in effect to confirm such debts” and there was “no direct business relationship” between the plaintiffs and Gome Appliances.
“Gome Appliances does not owe any payment to the applicants,” the statement added.
The bankruptcy petitions come after the retailer earlier this month categorically refuted such rumours, releasing a statement saying that it had not received any legal documents or inquiries related to bankruptcy.
