The fashion brand founded by Real Housewives of Cheshire star Seema Malhotra owed almost £3m when it entered liquidation, it has been revealed.
Debts of more than £2.8m had been racked up by Manchester-based Dress Me Online, which traded as Forever Unique, according to newly filed documents with Companies House.
The brand’s clothes have previously been worn by the likes of Holly Willoughby and Kate Middleton, with Malhotra previously stating its inspiration came from the glamorous supermodels of the late 1980s, including Claudia Schiffer, Naomi Campbell and Cindy Crawford
A self-confessed workaholic who loves to go out partying, Seema, 44, a mother-of-two who studied fashion and design at the University of Salford, set up Forever Unique with husband, Sandeep, in 2008.
She joined the cast of The Real Housewives Of Cheshire for the third season in 2016.
Seema Malhotra studied fashion and design at the University of Salford
The Duchess of Cambridge was pictured in a Forever Unique dress on a night out at Mahiki with sister Pippa before she married Prince William
Forever Unique was reported to have witnessed huge direct to consumer growth when it launched, while its goal was to explore new and innovative ways to engage a wider market, allowing consumers more sustainable ways to shop.
Earlier this year, however, Forever Unique was reportedly involved in a six-figure legal battle with Love Island contestant Paige Thorne, who signed a huge deal with the global fashion brand last summer.
The reality TV star detailed how the ‘dark time’ left her ‘crying to her parents’ and wondering how she was going to pay her bills.
Paige Thorne and Seema Malhotra at the launch of Paige’s 40-piece collection
Holly Willoughby, pictured in a Forever Unique dress, was a fan of the popular fashion brand
Forever Unique is now trading under a new operating company, Fashion Store Online Limited.
The brand was co-founded by Malhotra, along with Sandeep, but she is not a director of Dress Me Online. The only director is Mr Malhotra.
Her husband is also the only director of Fashion Store Online Limited.
According to its most recently available accounts, Dress Me Online turned over £2.3m in the year to December 2020.
The new statement of affairs, which has been filed with Companies House, shows that HSBC was among its largest creditors as well as China-based Guangzhou Pretty Fashion and Turkey-based Nova Sourcing USD.
HMRC was owed more than £1.3m when Dress Me Online entered liquidation.
Amanda Holden, pictured in a Forever Unique dress in London in 2020
Mr Malhotra was owed more than £140,200 while Unique Collections, a Manchester company he is a director of, was also owed almost £577,300.
Amie Johnson and Yiannis Koumettou of Begbies Traynor were appointed as joint liquidators of Dress Me Online on April 4, ‘after all options had been explored to keep the business open’.
Insolvency director Amie Johnson said: ‘We have successfully completed a sale of the company’s stock. In accordance with our statutory obligations we are now focusing on our investigations into the company’s affairs and conduct of the company’s directors.
‘If creditors have any concerns regarding the company’s affairs or directors’ conduct we would ask that they contact us with details. We will keep creditors updated with progress.’
Speaking last month, she said: ‘Every option was explored but there was no choice but to enter the company into liquidation. A combination of the economic climate, inflation and issues in recovering from the pandemic have resulted in these circumstances.’
The latest news comes after Forever Unique’s wholesale arm entered liquidation last year owing more than £2.8m.
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