Veritas IT, which collapsed in September with the loss of 50 jobs, has gone into administration.

In a statement accountants BDO Stoy Hayward, who were appointed as administrators on 11 October said: "Following the appointment of the administrators, an immediate review of the company's position was conducted and the remaining assets, including the benefit of ongoing customer contracts, were sold to ESS Technology. It is likely the DBERR (formerly the DTI) will ensure that employees receive a proportion of amounts owed to them but other unsecured creditors will not be paid."

William Turner, director at BDO Stoy Hayward and one of the administrators, added: "We were pleased to be able to sell some of the assets and contracts so that continuity was achieved for the benefit of the company's customers and contractors.
 "Unfortunately, in the time allowed, it was not possible to sell the business as a going concern, partly because all the staff had already been made redundant.

 "It is imperative that companies experiencing cash flow difficulties seek early professional advice so that options can be explored before it's too late to prevent a failure."

* See Recruiter 31 October for more details